FHA 203(k) Streamline is not what you expect when you hear 203(k). It is not the cumbersome program of old that required a consultant, nor does it require a general contractor. There are limits as to what can be done with the program, but overall, it is great for those “fixer-uppers” that need some cosmetic repair to make it work. MAJOR POINT: it is only for owner occupied properties.
The FHA 203(k) Streamline loan allows a buyer to purchase or refinance a home and close on it prior to having some of the repairs done that they want or the lender requires. The program allows repairs/remodeling and free standing appliance purchase up to $35,000 (inclusive of 10% contingency). The work must be done within 90 days of closing and will be paid in one or two installments. It doesn’t require a general contractor and can be a combination of things. No major structural work is permitted under the program guidelines.
This is what you can do with the FHA 203k Streamline loan:
- Repair/replace roofs, gutters and downspouts
- Repair/replace/upgrade existing HVAC systems
- Repair/replace/upgrade plumbing & electric
- Repair/replace flooring· Minor remodeling, such as kitchens (non structural)
- Painting, both exterior and interior
- Weatherization, including storm windows and doors, insulations, weather stripping, etc.
- Purchase & installation of appliance, including free standing· Accessibility improvements· Lead based paint stabilization
- Repair/replace/add exterior decks, patios & porches· Basement finishing & remodeling (non structural)
- Window and door replacement & exterior wall residing· Septic system and/or well repair or replacements
I can help you with this program in Oregon, Washington and California. Give me a call today!
