Chicago FHA 203K Help

Your Chicago Area FHA 203K Renovation Loan Resource

Peter Thompson - Illinois Mortgage Broker
Illinois Mortgage Broker
Peter Thompson

Prospect Mortgage
NMLS # 283204
Direct: 331-333-7093
Cell: (630) 479-6424
Fax: 877-773-1476
1717 Naper Blvd., Suite 300
Naperville, IL 60563
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FHA Chicago Area Max Loan Limits Are Officially Raised Back to their Previous Highs

9th December 2011

Last month congress passed a bill which restored the temporary high loan limits for FHA mortgages. The news at the time was for the higher cost areas, but last week week HUD made it official and the Cook County FHA loan limits, Dupage County max loan limits, Will County FHA max loan limits, Kane County FHA max loan limits, Lake County FHA max loan limits, Grundy County FHA max loan limitshigher temporary loan limits are now in place across the country and these higher limits  will be set until the end of 2012. This is good news for home buyers who are buying larger homes or smaller apartment buildings (2 to 4 unit buildings), since it allows these buyers to purchase with just a low 3.5% down payment, and it the more lenient qualifying standards FHA offers. It is also good for the housing market in general because more qualified buyers means a stronger and more robust market.

These loan limits were originally put in as part of the economic stimulus bill as a way to increase financing options and help stabilize the housing market. The higher FHA Max loan limits were extended beyond what they were originally called for, but expired earlier this year due in part to concern over the budget deficit. With the housing sector still soft, industry groups pushed hard for this extension.The max FHA loan amount here in the 6 county Chicago metropolitan area (Cook, Dupage, Lake, Kane, Will and Grundy Counties) is now back to $410,000 for a single family home.

Here is the table for the Chicago Metro Area:

1 unit

$410,000

2 unit

$524,850

3 Unit

$634,450

4 Unit

$788,450

The FHA max mortgage is determined on a county wide basis based on the areas median home values. In higher priced areas (mostly California) the max limit extends up to a high of $729,750. The floor in counties where higher limits don’t apply, is $271,050.

This applies not only to all FHA purchase loans, but also FHA 203k rehab loans and FHA refinances.

Here is a link to the HUD search tool which gives the FHA loan limits by County.

Free Home Buyers Guide

You can trust in us to get the job done

Peter Thompson 630-479-6424

Illinois Mortgage Rates                   First time home buyer loans

Chicago Mortgage Company            Chicago FHA Mortgages


 

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Chicago Area Realtors – Seminar– How to Create More Business Working With Rehab and Renovation Properties

3rd August 2011

Chicago area FHA 203k, FHA 203k Realtor seminar

Do you have listings that will not sell?

Are your borrowers looking at an older home that need work?

Do you have listings that need updating or repairs?

Renovation Loans can help you sell more homes and increase your commission! Attend this exclusive event on how to sell more homes using Renovation Loans offered by Prospect Mortgage, the nation’s No. 3 lender in 203K Renovation Loan origination. Renovation Loans are ideal for buyers who want to remodel an older home or buy a fixer-upper, and YOU can benefit from this growing market!

This seminar includes:

  • Everything you need to know about selling more homes with Renovation Loans.
  • Why Renovation Loans are EASY for Agents and buyers.
  • Why more buyers are choosing renovation loans and need Agents who can help.
  • How to grow your business with Renovation Loans.
  • How to market “fixer-uppers” using attractive Renovation Loan options.

Join New York Times best-selling author Todd Duncan, who will talk about ways to build your business in today’s market, Prospect Mortgage’s National Renovation Manager John Adams and Former Cook County Assessor James Houlihan for an information-packed event sponsored by Prospect Mortgage, the experts in renovation lending!

Date & Time

Thursday, August 11 from 1:00pm – 4:00pm (CDT)

Location

Philip H. Corboy Law Center – Loyola University Chicago School of Law
Kasbeer Hall
25 East Pearson Street
Chicago Illinois

Show MapGet Directions

Call me if you would like to attend or if you have any questions -

Peter Thompson 630-479-6424

What Realtors need to know when working with an FHA 203k Rehab loan

    Free Home Buyers Guide

    You can trust in us to get the job done right.

    Peter Thompson/ Prospect Mortgage    630-479-6424

    Chicago FHA 203k Renovation Mortgage

    FHA 203k rehab loans in Chicago


 

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Chicago Area Realtors – Seminar– How to Create More Business Working With Rehab and Renovation Properties

3rd August 2011

Chicago area FHA 203k, FHA 203k Realtor seminar

Do you have listings that will not sell?

Are your borrowers looking at an older home that need work?

Do you have listings that need updating or repairs?

Renovation Loans can help you sell more homes and increase your commission! Attend this exclusive event on how to sell more homes using Renovation Loans offered by Prospect Mortgage, the nation’s No. 3 lender in 203K Renovation Loan origination. Renovation Loans are ideal for buyers who want to remodel an older home or buy a fixer-upper, and YOU can benefit from this growing market!

This seminar includes:

  • Everything you need to know about selling more homes with Renovation Loans.
  • Why Renovation Loans are EASY for Agents and buyers.
  • Why more buyers are choosing renovation loans and need Agents who can help.
  • How to grow your business with Renovation Loans.
  • How to market “fixer-uppers” using attractive Renovation Loan options.

Join New York Times best-selling author Todd Duncan, who will talk about ways to build your business in today’s market, Prospect Mortgage’s National Renovation Manager John Adams and Former Cook County Assessor James Houlihan for an information-packed event sponsored by Prospect Mortgage, the experts in renovation lending!

Date & Time

Thursday, August 11 from 1:00pm – 4:00pm (CDT)

Location

Philip H. Corboy Law Center – Loyola University Chicago School of Law
Kasbeer Hall
25 East Pearson Street
Chicago Illinois

Show MapGet Directions

Call me if you would like to attend or if you have any questions -

Peter Thompson 630-479-6424

    Free Home Buyers Guide

    You can trust in us to get the job done right.

    Peter Thompson 630-479-6424

    Chicago Area FHA 203k

    Chicago Area Rehab and Renovation Mortgages

    Chicago Mortgage Company            Chicago FHA Mortgages


 

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Chicago FHA 203k Mortgage Myth – the FHA 203k Rehab Mortgage is Capped at $35,000 in Repairs and Improvements

29th July 2011

 I hear on a regular basis from borrowers and Realtors, that they were interested in a particular home, but the home couldn’t work, or it could only be bought on a cash offer Chicago area FHA 203k streamline renovation loan, FHA 203k mortgages in Chicago area because it needed too much work. When I ask if they have considered the FHA 203k rehab loan, a common answer I hear is that they couldn’t use this because the property required more than the $35,000 of work that the FHA 203k allows.

BZZZZZ. Wrong answer.

There are two types of Chicago are FHA 203k rehab and renovation mortgages. One is a streamline FHA 203k, which is capped at a total of $35,000. But there is another loan, the full or consultant FHA 203k, which you can use for major projects. This loan can go as high as the FHA lending limits allow. So it is possible to buy a home for $50,000 and put $100,000 in upgrades and repairs. $200,00 if you want, or whatever works to make the home the way you want it to be. You do of course have to be able to qualify for the payment, and the home has to be able to appraise out, based on what the value will be with all the upgrades. 

This myth persists because most lenders who offer the FHA 203k loan, are only able to offer the streamline. The Chicago area FHA streamline loan is available through many brokers. If a lender has never done an FHA 203k before, the Streamline is the place to start because it is an easier loan to work with in many ways. But if your lender has never closed one of these loans before, do you really want them learning the ins and outs of the loan at your expense? Sometimes the work needed is structural, and a loan could require less than $35,000 in repairs and still need to go the full, consultant route. It makes sense to work with a company that offers both, in case you need to switch at some point in the process.

As the name implies, the consultant FHA 203k requires that you work with a certified FHA 203k consultant. The cost for the consultant can be built into the loan, and the fees charged are set by HUD, and are very reasonable for the service you get. Doing a big project is not something most buyers want to tackle on their own. %The FHA 203k consultant helps coordinate the project, works with you and the contractor to make sure that the right work gets done, everything runs smoothly and makes a complicated renovation much simpler for the borrower. If you would like more information on what is involved with a Chicago area consultant FHA 203k, or if you are thinking about buying a fixer upper and need some help figuring out how to go about it, give me a call.

Free Home Buyers Guide

You can trust in us to get the job done right.

Peter Thompson 630-479-6424

Chicago Area FHA 203k             

Chicago Area Rehab and Renovation Mortgages

Chicago Mortgage Company            Chicago FHA Mortgages


 

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Chicago Area Homepath Renovation Loans – Financing for Purchase and Repairs for Fannie Mae Foreclosures

6th May 2011

One of the best kept secrets for many real estate agents, home buyers and investors, is the Homepath Chicago area HomePath Renovation mortgage, Homepath renovation mortgages in the Chicago arealoan. This is a type of mortgage specifically for purchasing Fannie Mae foreclosed homes, and there are  some great advantages to buying with this program. These foreclosures are priced right from the start, you can buy with a low down payment (3% down for owner occupants and 15% down for investors) and there is no mortgage insurance. Now we have a new type of Homepath loan, the Homepath Renovation loan. This mortgage allows buyers to purchase a Fannie Mae foreclosure and add the cost of repairs and improvements into one loan, with one closing. The biggest problem when buying a foreclosure is often that the home needs work, either repairs immediately, or deferred maintenance. This mortgage is modeled after the Streamlined FHA 203k, and the Homepath Renovation loan allows you to add these repairs into your mortgage, and you can also include other improvements to make the home the way you want it to be.

Some of the features for this loan include:

  • Available for eligible Fannie Mae foreclosures as listed on Homepath.com.
  • 3% down payment available for owner occupied buyers.
  • 15% down payment for investors (2 –4 units require a higher down payment).
  • Available for 1-4 units, condos and townhomes.
  • The mortgage is available as 30 year fixed, 15 year fixed and 5 year adjustable mortgages, so there is flexibility in how you can structure your financing.
  • There is no mortgage insurance on these loans (There are however pricing adjustments for this. You can either build this into the rate or pay to buy for it at closing – you can use seller credits to pay for this.)
  • You can ask for up to 6% of the sale price as a seller credit for owner occupants, and 2% is allowed for investors.
  • Unlike the regular Homepath mortgage, a full “as-completed” appraisal is required.

 

Here are the steps of a Homepath renovation Mortgage from start through the completion of the work:

  1. Find the property and choose your lender.
  2. Decide exactly what work needs to be done, and work with your lender to come up with an estimate of how much it will cost.
  3. Apply for the mortgage so we can get the credit approval as quickly as possible.
  4. Get bids for the work that needs to be done, and pick the contractor you want to work with.
  5. Have your contractor work with your lender to submit the contractor approval package and make sure the bids are put together correctly.
  6. Once we have the credit approval and the contractors bid and package, we will order the appraisal (showing value after all the work is completed).
  7. Once the appraisal is in, this, along with any other needed documentation, is submitted for the full loan approval.
  8. You close on the loan and now own the home.
  9. At Prospect, 5-7 business days after closing you will receive 50% of the funds so you can start the work (this comes in a check made out to you and the contractor).
  10. The contractor must start the project within 30 days and must complete it within 6 months. 
  11. When the work is completed the contractor signs a lien release, the borrower signs a statement showing the work has been completed and a final inspection and title update are done.
  12. The balance of the funds are released in a two party check to the contractor and the borrower.
  13. If there is any money left over after all the work is done it will be applied to the principal balance of the mortgage.

Homepath Renovation loans are a great way to buy a home and fix it up at the same time, but it is a very specialized loan. There are only a few lenders able to do them here in Illinois, my company, Prospect Mortgage is one of them. Make sure you work with a loan officer who is certified to work with renovation financing as there are a lot more moving parts and you want someone who can help you navigate through the approval process. Let me know what I can do to help you.

Free Home Buyers Guide

You can trust in us to get the job done.

Peter Thompson 630-479-6424

Illinois Mortgage Rates                   First time home buyer loans

Chicago Mortgage Company            Chicago FHA Mortgages


 

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Chicago Area FHA 203k – What Questions Should You Ask Before Starting an FHA 203k Rehab Loan?

28th April 2011

The FHA 203k rehab and renovation loan is still one of the best kept secrets in the real estate market today. A recent report showed that nearly half of the Chicago area FHA 203k streamline, FHA 203k mortgages in the Chicago area sales now are distressed properties, that is either foreclosed properties or short sales . With each of these situations, you are buying the property “as is”. It is likely that there is at the least some deferred maintenance in the home, and a good percentage of the foreclosed properties are fixer-uppers which need work just to be habitable. The FHA 203k rehab and renovation loan is the perfect solution for these homes. But the FHA 203k mortgage in the Chicago area is also a great solution for homes that are livable as they are, but where modernization or general improvements are needed. It is a lot cheaper to finance the improvements as part of the original mortgage than to put in on credit cards later.

The FHA 203k mortgage is a great program, but it has more moving parts than a standard loan does. To make sure you are able to use this loan to it’s best advantage, close smoothly and get the project completed, you need to do some digging and hire a team that will get you through to the finish line.

Here are some questions you should be asking at different phases of the project:

When you find the home -

  • What work needs to be done?
  • What would you like to have done with the house to make it the way you want it?
  • What is most important, and what work could you do without if you had to?

Having a clear idea of what you want to do and what the home will look like when you are done is a key factor in successfully using an FHA 203k. Once a contract is accepted you will need to make decisions quickly. Knowing what you want upfront will make everything easier.

When picking your loan officer -

  • How many 203k jobs have they done?
    How does your process work from start to finish?
  • Does their company administer the contractor draw, or is the loan sold after closing?
  • Do they do all FHA 203ks, or only streamlines? (this is important because sometimes the project has to be switched from a streamline to a full or consultant 203k).
  • How long does the process take from application to closing?
  • Does he have contractors and consultants he can can recommend?

Picking the right lender is key to a successful project. This means both the loan officer you work with, and the company making the loan. You should pick your loan officer before you seriously start looking at homes. The lender will make sure that you are qualified to buy, and you know all your options and how the process will work. If you are planning to look at distressed properties, make sure you work with a lender who is proficient with the FHA 203k. Many homes that start out as standard FHA loans end up going with the 203k rehab loan because of property conditions. You will need to be pre-approved for a mortgage before you are able to submit an offer.

When picking a contractor -

  • How long has he been a contractor?
  • Can he supply a list of references who he has done similar projects for? (We will be getting this as part of the approval process.)
  • What work will he be doing himself, and what parts will he subcontract out?
  • Will he be able to start the project right away once the loan is approved and you have closed on the home?
  • How long will it take to complete the project?
  • Has he worked with the FHA 203k before? (It’s not a problem if he hasn’t, but make sure he understands how the process works and when he will be paid.)

Keep in mind that price is not the only factor when picking a contractor. This is someone who will be working in your home for as long as it takes to complete the project. You need to at least feel comfortable with him. We will be checking on his bid and credentials as part of the approval process, but you should do your own due diligence, too. One area that you want to check is timeliness and that he will be able to work within your expectations.

Working with the right lender and the right team will make the whole process much less stressful, and insure a successful completion. There is more involved when buying a fixer-upper and getting a rehab loan, but the results can be worth it.

Free Home Buyers Guide

You can trust in us to get the job done right.

Peter Thompson 630-479-6424

Illinois Mortgage Rates                   First time home buyer loans

Chicago Mortgage Company            Chicago FHA Mortgages


 

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Chicago FHA 203K – When You See Cash Offer Only on a Listing, Think FHA 203K

9th April 2011

With all the distressed properties on the market, a good portion are inevitably going to have issues with the property condition. If you are looking in the MLS, Chicago area FHA 203k Rehab loam, Chicago Illinois FHA 203k renovation mortgage at Realtor.com or one of the local search sites, you will find that some of these homes are marked as cash only. When you see cash only this means that the property has serious problems of one form or another, and that the seller, or the seller’s agent, doesn’t think it will pass as acceptable to get either conventional or FHA financing. This means that the overall pool of available offers for this property has shrunk down to the investors who are ready and willing to buy with all their own cash. These investors are looking for big returns and they will take on a project that needs a lot of work, but it has to be at a price where they know they will be able to buy and fix up for a good profit. These properties take more work and more imagination, but they are also the best bargains on the market, and if a homeowner can buy a home and make the repairs this is a way to quickly build equity. The truth is that home buyers who plan on living in the home can take advantage of these homes, too, by going with an FHA 203k rehab and renovation mortgage.

Sometimes this is a matter of educating the selling Realtor to what is possible. With a full or consultant FHA 203k loan in the Chicago area, a buyer can do most anything they want to get the home in the shape they want it to be. Here in the Chicago area you can use an FHA 203k loan for a combined purchase price and rehab amount of $410,000 for a single family home, more than that if it is a multi unit building. This means that is enough to do pretty much anything you want with most properties. It is possible For example, you could buy a “Cash Only” home for $30,000 dollars and add $380,00 of repairs. The property would still have to appraise out, but the idea is that there are no real limitations on what kind of work you c an do. Whether the property has structural problems, needs a new roof, or whatever the situation is, if it can be sold for “Cash Only” it should also be able to be financed and improved with an FHA 203k rehab and renovation mortgage. If you wanted to, you could tear down most of the house and as long as you use part of the old foundation.

Cash is great if you have it. But the seller is better off offering their home to borrowers who can put as little as 3.5% down, instead of restricting it only to those investors who can offer all cash. This is also better for the neighborhood as it brings in new owner occupants, and if you buy a home that needs a lot of work, you benefit by adding value right from the start.

Free Home Buyers Guide

You can trust in us to get the job done right.

Peter Thompson 630-479-6424

Illinois Mortgage Rates                   First time home buyer loans

Chicago Mortgage Company            Chicago FHA Mortgages


 

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Chicago Area Realtors – FHA 203k Rehab Loan Seminar on April 7th, How to Sell and Close More Transactions in a Foreclosure Dominated Market

31st March 2011

A fact of life in the housing market today is that a substantial amount of the inventory for sale is made up of foreclosed homes and pre-foreclosed or short sale homes. One of the FHA 203k Realtor seminar, FHA 203k Realtor in the Chicago area biggest issues for buyers of these properties is that the condition of the homes can range from move-in ready to ready to be knocked down, and a good portion of the homes available will need some work. Sometimes this work is required before anyone can even get the loan. Other times the home is in livable condition, but needs modernizing and upgrades before most buyers would consider it a place they would want to call home.

Usually the best and often only financing option for these homes is the FHA 203k renovation loan. This loan allows the buyer to buy a home and add the cost of repairs and improvements into the purchase price. Because this is an FHA loan, it only requires a 3.5% down payment, based on the total cost, and credit and qualification standards are not nearly as stringent as conventional requirements. Knowing how these loans work, and how you can use them, opens up properties that wouldn’t have looked like possibilities before as realistic homes for your buyers. This also gives another tool in the arsenal for listing agents with homes that are outdated or have problems that can be fixed with a little work.

Prospect Mortgage is holding an FHA 203k seminar for Realtors on April 7th, 2011 at the Carlisle Conference center in Lombard, IL from 1:00 to 5:00. This seminar will feature Prospect’s National 203k Manager, John Adams, a nationally renowned expert. I’ve heard John speak a number of times, and he not only knows the ins and outs of how to get more homes sold and closed in the real world, but he is tell it like it is speaker who talks about specific strategies that will help you in today’s market.

Some of what will be covered includes:
  • How the FHA 203k works.
  • When to use the streamline FHA 203k and when to use the consultant 203k.
  • How to help your buyers stay on track so you can close quickly.
  • How to increase your sales with the FHA 203k loan.
  • What you can do to help position listings for quicker sale with the FHA 203k mortgage.
  • Here are the details:

Prospect Mortgage FHA 203k Realtor Seminar

Time: Thursday, April 7th from 1:00 – 5:00 PM

Location: The Carlisle

435 East Butterfield Road

Lombard, IL 60148

As a bonus, a 3G IPad will be raffled off at the event. To register, give me a call (630-479-6424) or send me an email (peter.thompson@prospectmtg.com). If you can make it, this will be time well spent.

Free Home Buyers Guide

You can trust in us to get the job done right.

Peter Thompson 630-479-6424

Illinois Mortgage Rates                   First time home buyer loans

Chicago Mortgage Company            Chicago FHA Mortgages


 

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Chicago FHA 203k – What You Need to Ask Your Lender Before Starting an FHA 203k Rehab Loan

28th March 2011

With so many foreclosures on the market, FHA 203k rehab mortgages are becoming quite popular. It makes sense because this loan allows you to buy a fixer-upper at a discount, and roll the needed repairs into the mortgage. With a Chicago FHA 203k streamline renovation loan, FHA 203 k consultant mortgages in Chicago minimum of just 3.5% for the down payment, based on the purchase price plus the improvements, this mortgage fits the needs of many home buyers. As more people learn about the advantages of this mortgage, more mortgage brokers and mortgage lenders are seeing the need and starting to offer the FHA 203k to their clients. But having the loan available and being able to close the loan are often two different things. The FHA 203k rehab and renovation mortgage is more complicated than standard mortgages, and because their are more moving parts, if something changes the loan could too easily get derailed. Different lenders handle these mortgages in different ways, and how they handle these loans could have a big impact on whether or not the loan closes, and the quality of your experience once it does.

Here are some questions you should ask of your mortgage lender before going forward with and FHA rehab mortgage:

How experienced and knowledgeable are they at working with the FHA 203k? The loan officer you work with will be your primary contact and guide throughout the process. Do they understand what you are trying to do and able to give you advice on the best way to accomplish the work? A good loan officer will make sure you know exactly what you should be doing as you go along and help you to make the decisions that will move the project ahead. Make sure you are comfortable with your loan officer and his expertise before moving forward.

What is the timeline to approve and close the loan? Some lenders can close quickly, with other lenders the process can drag on forever. A good part of the process is under the buyers control (especially how you work with the contractors and how quickly you get in your bids) but the timing of other parts of the approval process will be in the lenders control. There are lenders who under the best of circumstances are averaging over 90 days to close. Others can turn it around in 45 days or less. Make sure you ask about the timeframe and if the lender will be able to meet the deadlines in your contract.

Can they do full FHA 203ks or just streamlines? This can make a big difference. The FHA 203k rehab and renovation mortgage is available as a Streamline mortgage which is available for smaller jobs where the borrower can handle the arranging and coordinating of the work themselves. The streamline is limited to $35,000 of work (which includes a reserve fund) and can’t include any structural work. With the full or consultant 203k nearly anything is possible. The problem arises when you start out with the streamlined, but then it turns out you need additional work, or something structural needs to be improved on the property. This could be because the appraiser finds something that is required to meet FHA guidelines, or it could be that you decide that you want to add to the improvements and what is included in the mortgage. If the lender you are working with can only do streamlines (this is the case with many lenders) then you may need to start over again with someone else, at more cost and more time wasted.

Who underwrites and approves the file? If it is a direct lender the file will remain in-house and approved through the lender you applied with. If the loan is brokered out it will go to a third party lender who will underwrite and approve the file and often close in their name. A brokered loan could work out great, but there is less control involved and it may take longer to get through.

How are draws administered and how long will it take to get the funds dispersed? This is a huge factor and something you need to know up-front. This involves when you will get the money to start the work after you close, and how quickly any draws are dispersed (for the full FHA 203ks) and when you will get the final payment once all the work is done. There are horror stories of lenders who close the 203k and then the borrower and contractor have to wait months before they even get their first payment. If your contractor starts the work right after the closing and doesn’t get paid for months, this will not be a fun situation. The company I work for, Prospect Mortgage, has their own draw department so the initial draw is usually paid out in 5-7 business days, and subsequent draws are paid out promptly.

If you are going to use an FHA 203k rehab loan here in the Chicago area, make sure you do your research before making a decision on who to work with. This will make the process easier and result in a successful project.

Free Home Buyers Guide

You can trust in us to get the job done right.

Peter Thompson/ Prospect Mortgage    630-479-6424

Chicago FHA 203k Renovation Mortgage

FHA 203k rehab loans in Chicago


 

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Chicago Illinois FHA 203k – Why First Time Home Buyers Should be Pre-Approved by a Lender Who Works With Rehab Mortgages

23rd March 2011

The first step for anyone who plans to buy a home, is to get pre-approved for a mortgage. This means having a good loan officer go over your income, assets and credit profile, and give you a range of how much of a home and a Chicago Illinois Fha 203k Rehab mortgage, FHA 203ks in Chicago area mortgage payment you can afford. Part of the pre-approval process is determining what the best type of mortgage is for you and your needs. If you have a larger down payment with great credit and good income a conventional mortgage is usually the best way to go. For those who are scraping to get the money they need for closing, FHA is often the best program. But the pre-approval ignores one of the biggest factors in getting a mortgage, the property you are buying.

The property you buy is a big factor in your approval, especially now when so much of the market of homes for sale is made up of foreclosures and short sales. A good portion of these homes will have some deferred maintenance or physical problems that need to be taken care of. If you find the ideal property but it needs repairs before you can close, or if it is priced right but it needs modernizing, or it just doesn’t fit into your standards, an FHA 203k may be the best solution.

When you first start the process, take some time to think about what type of home you want and what features are really important to you. If you are going to look at distressed properties like foreclosures and short sales, take a little time to learn about the FHA 203k rehab loan. Working with a lender who understands the ins and outs of the loan will help you be prepared if you choose a property that is in less than perfect shape.

Free Home Buyers Guide
You can trust in us to get the job done right.

Peter Thompson/ Prospect Mortgage    630-479-6424

Chicago FHA 203k Renovation Mortgage

FHA 203k rehab loans in Chicago


 

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