Here's everything you need to know about FHA loans so you can make sure you don't run into any issues when you're ready to qualify → ua-cam.com/video/S-v9ZxJevfo/v-deo.html
Kinda confused still, do I need to take care of the health hazards like mold and paint BEFORE applying for a 203k or are those repairs the purpose of the 203k?
Hi my husband and I recently bought a house and received a 203k loan. The lender disbursed half of the loan to get us started with the rehab work, however they will not disburse the remainder under the work is complete. This confuses me, because we need the money in order to complete the work. Can you advise us please?
Dude you’re the best!! For sure the #1 resource for mortgage info on UA-cam! I really appreciate your engagement with us- I will definitely be using this video as a reference to help me move forward efficiently and competently
This is the only option that worked for me in this current market. I’m a single parent, and didn’t have money to compete with other buyers, who were overbidding on old rundown homes. Plus they only wanted cash or conventional buyers. I’m currently waiting for my closing date on my foreclosed split level home. Not bad for my 1st home. 😏
Hi Nitta! I would love to hear about your experience with this type of loan! I have experienced a lot of what you went through before you decided to renovate your home.
0:20 Overview 0:43 2 versions of the FHA 203k 1:46 Credit score requirements 2:50 The big benefits of FHA 203ks 3:45 What can you fix? 4:57 FHA's list of repairs you can do 6:21 How much can you borrow? 7:56 Can you do the work yourself? 8:38 Sweat equity 9:03 Bids and the contractor 9:24 My honest opinion of 203ks 9:50 How long it takes to close 10:49 How long does it take for work to be completed? 11:15 FHA 203k rates and refinancing 12:28 Alternatives 13:15 203k example and who this loan is for 14:40 8 steps to close on a 203k 16:44 How to qualify for an FHA loan
Late response to this video, but I can't seem to find an answer to my question. For the contractor to start working on the rehab of the home, are funds already disbursed and provided for the Contractor to rehab, or do we have to provide those funds up front to the Contractor and then get reimbursed by the FHA loan?
@@Gotfish there are some occasions when the 203k Consultant will allow a contractor to get an early Demo draw but for the most part, the contractor has to float his money until demo has been completed, checked, and approved. Then the Consultant will release the first draw. From there he/she will work on the next items in order to be checked for the next draw. This repeats until the project in finished. Once checked thr last time, the contractor will get their final draw.
@@donnyp3346 in theory yes. However you'd have to package your story to make it make sense for the underwriter. 1 method I learned from "MG the Mortgage Guy" is his 4-3-2-1 Method. You buy a quad(4-plex) live in it for 1 year, then refinance to a conventional loan. Then buy a tri-plex, live it for 1 year, then refinance to a conventional. Then buy a duplex, live in it for 1 year, then go buy your dream single family home. Once you get to that point, you'll have 9 doors paying for your dream home! It still has to make sense but typically when you move down in unit count, you move up in square footage per unit. This is viewed as an upgrade and easier to get approved.
so i currently have a fha loan property that is a multifamily that i purchased over a year with fha loan. its been 2 years now and i would like to buy another one with fha loan aswell, how do i do that?
So glad. A house came up in my current neighborhood where I’m renting but can’t afford to buy. I’m considering doing this. Have to see how much and what work needs to be done.
Watching this video because I found a house that needs complete re-siding, half the windows replaced, and the deck completely replaced or torn down. Thanks for the knowledge. Not looking to flip, just want to live there. It's a time capsule from the 80s
When applying for an FHA standard 203k loan, what’s the best way to do that? Just going to their website? It’s a little hard to navigate. And when I do the research myself and the Internet recommends lenders to me, when I call them the person talking to me goes “oh I’m not sure about that”. I feel like I’m going in circles even at the starting point
Thank you for your research for this video. It was very informative and very detailed. This video was exactly what I was looking for. Keep em coming sir
I wish i was told by the lender about the requirement that a professional general contractor has to do 90% of the work. I was planning on doing about 80% myself but now am between a rock and a hard place. Glad i saw this video before closing
Can you do video on current homeowners !!!!!I want to pull equity out my first home, so what’s the best product to use, when I want to keep my first home, & rent it out and then move into a 4plex using the 203k loan
This is awesome! I currently flip homes. - I have one that we want to keep and live in. We need to close in less than 30 days. - The best option I see is an acquisition + rehab loan (HML). Then refinancing it into my personal name. - Any other ideas on a shorter timeline?
Wow, I may just work towards an FHA 203K Loan. And convert to a conventional. I’m not in construction but I’ve contracted construction projects for work so I know exactly the process to get work done. Wow. I’m so excited. Thanks. Please post more about this topic 😍
Hi there I would like to say few things thx for this great job and great information it’s helpful I love the way u put the content together I will recommend ur videos to my friends once again thank you 🙏 and be safe
Thank you so much for the video. Could you go more in detail about the flowchart at the end. Like appraiser, finding out arv, permits/OPRA, title search, building Inspector, etc. ?
I love your videos so much! I work with VA and first time buyers a lot, and you're so relaxed and NOT YELL-Y like many of the "5 MISTAKES BUYERS MAKE DEAR GOD DON'T DO THIS YOU WILL REGRET ALL OF YOUR LIFE CHOICES UP TO THIS POINT {INSERT WEIRD GRAPHIC AND LOUD NOISE}." My style is calm, and patient - and I warn my clients before they listen, don't be driving because your voice is very chill. 🤣 Thanks for the awesome and informative videos that don't scare the mess out of my clients! 🙌
Thanks so much!! Hahah no one likes loud obnoxious people, I don't get why there are so many like that on UA-cam!! Thanks for sharing the videos! - Kyle Seagraves winthehouseyoulove.com
Thanks for the video. That was really helpful. What other ‘rehab’ loans or construction loans do you recommend for doing renovations? Or loans that can work in tandem with a conventional loan?
HELOCs are a popular way to finance home improvements, it is a secured loan & backed by your home. You can also qualify for lower interest rates than you would for an unsecured personal loan.
Hello there, how are you Many Thanks for all this information. We are located in south Florida. Do you know anyone who can help us with the process in getting this 203k. We have a general Contrator license. We want to get further information Thanks for all your help!!!
Great video, Kyle! Is it possible to buy a multi-unit with an FHA, then a year later get a single family with an FHA/203k? For example, buying a multi-unit as a single person then a year later your family size doubles and you need more space, but there aren’t any affordable options that meet your needs SOOOO you looked for affordable properties that you can improve. I saw your other video about 2 FHAs but I wonder how a 203k affects that. Thanks!
Great video! I am a new LO and I am working with a contractor that specializes in ADUs. Homeowner is already living in home, so would 203k loans work in this situation? What loan(s) besides cash out refi would you recommend? ADU's cost anywhere from $180k-$380k here in CA.
What if you qualified for less than the LTV before you switched to 203k? Is my max loan that plus repairs? Or can I borrow more because the property is with more?
I'm in California, is there any stipulations with FHA 203K Standard loans that does not allow down payment assistance? My lender claims I don't qualify for DPA because the repairs exceed $31K. I've been researching and haven't found anything to support that. It sounds like she's inexperienced with 203K and trying to process it as Limited as opposed to a Standard. Can anyone offer insight???
I'm looking at a couple properties with old mobile homes on them. If I am to buy one of these my plan would be to scrap out and remove the old home from either lot. and replace with a new home. I don't know, can I rehab the LOT instead of the home? By using an FHA 203k loan or would I need a different type of loan? I think price may keep me in mobile homes but would go modular if I could.
It says that you need to have 2 years of employment in the same job. Could this be any job? Like could I work as a waiter for 2 years and get approved or does it need to be a higher level job?
I love the video. You did a great job in explaining the FHA 203K loan and the process....Hi what if your family owns the property (house and Land) but you want to renovate the home. Do you have to put the property in your name. My family have a home that sits on 1.4 acres. I want to add a double car garage with living space and remove existing roof on existing home and create living space above. I looking at between 200-250k in repairs to update the home.
I am new to this channel. I am very interested in this type of loan. Do you know of any mortgage banks in Indiana that will approve these types of loans? I am a veteran and can't get approved or afford a move in ready home. I live on a pension. I desperately want my own home. If you can help me please, your assistance would be greatly appreciated.
Oooh dang, I don't! I use this white noise machine when I sleep, but not sure if that would help: www.amazon.com/Marpac-Classic-White-Noise-Machine/dp/B00HD0ELFK/ref=sxts_sxwds-bia-wc-p13n1_0?crid=3P6C8MALFD8FH&cv_ct_cx=white+noise+machine&dchild=1&keywords=white+noise+machine&pd_rd_i=B00HD0ELFK&pd_rd_r=340edac1-e0d9-4b7d-a0b3-c4cb3058837e&pd_rd_w=eq1PK&pd_rd_wg=Pmie8&pf_rd_p=224b59c9-c98f-46fd-96d6-8e952866d6a3&pf_rd_r=7G452QRQ7FTPJJA405RG&psc=1&qid=1601046980&sprefix=white+noise%2Caps%2C167&sr=1-1-a14f3e51-9e3d-4cb5-bc68-d89d95c82244
Hey Kyle, for a senior citizen who has some roof issues, would a cash out or HELOC loan be the way to go? I’m not really sure how the bank would be willing to lend me money since I’ve got some serious water damage. What should I look for loan wise?
What if you purchase a duplex with an 203k loan? Can you live in the first unit and rent out the second unit, or will you have to wait until the first year has passed to have any tenants?
Can you do 100% financing, aka no down payment with a much higher credit score? Im looking at buying a fixxer upper but dont want to put a down payment down and would like to do a loan like this for some renos!
So does a house need to be left in perfect condition after the repairs? A house I'm interested in does not have the lower kitchen counters, the appliances are disconnected and some drywall was removed to access water damage. Also, due to the water damage carpet in the living room was removed. The walls are dirty but that's more from normal use, like the hand rail looks dirty from people using it going upstairs. Also, the 2x4s don't look damaged, there was no rotting wood. So my real question is, could I get away with just having the kitchen fixed? I could do the painting and flooring on my own later. I'm asking this, because the asking prize is 250k and my max loan is also 250k. If I include the repairs I would go above that. But if I only spend 10k reassembling the kitchen I could make a 240k offer on the house and still have a decent chance at getting the property.
@@WinTheHouseYouLove It's my own fault. I thought I was watching a video on the USDA rehab loan (which IS a zero down loan). So, when you quoted the downpayment at 1:47, it confused me. Apologies.
Excellent video, very helpful. I'm curious after watching your FHA requirement video, if the standard FHA loan allows for a multi family 1-4 units, and the FHA 203k requires work to be started in 30 and completed in 6 months, how would this work in a multi with current tenants? Is there an extension/waiver for occupied units? Or does 203k lenders just not consider occupied multis for loan approval?
203K FHA almost always carry a higher interest rate that normal FHA mortgage. I suppose if you get a house that is an absolute need of repair, and you'd need the immediate large amount of cash to rehabilitate the property before you can live in it, then it's worth it. Otherwise, if the home is relatively livable (good foundation, structural, plumbing, no molds, no termites, etc.) and able to be rehabilitated with a simple paint job and cleaning, you'd save much more on interest payment by going with a regular FHA and saving up and spending that money to fix the property to the way you want it to be. My lender always gave me different scenario between FHA, FHA limited 203k, and FHA standard 203k for every house that I offered on that needed work, just so we can make informed decision. Just my humble opinion.
Great video! I imagine a contractor is going to charge about $500-$1000 for the consulting, the detailed line by line bid and the countless times they have to communicate with the homeowner/appraiser/Lender.
If they are a competent contractor, I'd expect that to be built into the costs whether directly or indirectly. If they do a good job and the pricing is in the right ballpark, don't nickle and dime them. Especially considering that the work will likely get you some extra equity on top of what you are paying the contractor.
This is just upsetting. My husband has better than 580 score and still being refused 203k seriously wondering why. We can even put 10% down but we are just told no. No reasons just no! I’d love to know of lenders who do 203k loans.
I think most mortgage brokers don’t want to deal with the hassle and paperwork. That’s the answer I pretty much got from my lender even after I took my license to show I was a contractor.
Hey if you can help me out with this question, you mentioned that with the 203k loan you need to live in the house for about a year all that time you would also need to pay the interests that comes with the loan?
Will 203k cover a house that's insides have been stripped down to its studs? Literally? No drywall, no ac, no heat; just the frame and the outside walls and roof. Looks like a completed house from the outside and but you go inside and its just frame.
Fantastic information!! The way you presented everything was so clear and all encompassing. Can you use 203k to buy a multifamily home if you live in it?
Yes! Multi-family housing that needs rehab can be financed with the FHA 203k. The owner/mortgage holder must also live there. It must also be the owner's primary residence. Thanks for watching :)
Here's everything you need to know about FHA loans so you can make sure you don't run into any issues when you're ready to qualify → ua-cam.com/video/S-v9ZxJevfo/v-deo.html
Kinda confused still, do I need to take care of the health hazards like mold and paint BEFORE applying for a 203k or are those repairs the purpose of the 203k?
Your truly the best wish you work out of New Jersey z😲
Hi my husband and I recently bought a house and received a 203k loan. The lender disbursed half of the loan to get us started with the rehab work, however they will not disburse the remainder under the work is complete. This confuses me, because we need the money in order to complete the work. Can you advise us please?
@@monique06608 you guys got a 203k loan without a contractor?
@@bbsvchic Hi, we have a contractor however we managed the money ourselves.
Dude you’re the best!! For sure the #1 resource for mortgage info on UA-cam! I really appreciate your engagement with us- I will definitely be using this video as a reference to help me move forward efficiently and competently
Thanks so much!! I’m glad to help :)
This is the only option that worked for me in this current market. I’m a single parent, and didn’t have money to compete with other buyers, who were overbidding on old rundown homes. Plus they only wanted cash or conventional buyers. I’m currently waiting for my closing date on my foreclosed split level home. Not bad for my 1st home. 😏
Wow! Thanks for sharing your story. :)
How many years of work history does it required ?
Update. Thinking about doing this as well
Hi Nitta! I would love to hear about your experience with this type of loan! I have experienced a lot of what you went through before you decided to renovate your home.
Not bad at all 🎉
0:20 Overview
0:43 2 versions of the FHA 203k
1:46 Credit score requirements
2:50 The big benefits of FHA 203ks
3:45 What can you fix?
4:57 FHA's list of repairs you can do
6:21 How much can you borrow?
7:56 Can you do the work yourself?
8:38 Sweat equity
9:03 Bids and the contractor
9:24 My honest opinion of 203ks
9:50 How long it takes to close
10:49 How long does it take for work to be completed?
11:15 FHA 203k rates and refinancing
12:28 Alternatives
13:15 203k example and who this loan is for
14:40 8 steps to close on a 203k
16:44 How to qualify for an FHA loan
🎧 Listen To The Podcast
plinkhq.com/i/1493715474
💰 7 Proven Ways To Save Thousands On Your Home
www.winthehouseyoulove.com/free
I believe you have to live there a year
I'm wondering can you keep repeating the process or will FHA SAY NO YOU CANT KERP FLIPPING THEM DO YOU KNOW
Late response to this video, but I can't seem to find an answer to my question. For the contractor to start working on the rehab of the home, are funds already disbursed and provided for the Contractor to rehab, or do we have to provide those funds up front to the Contractor and then get reimbursed by the FHA loan?
@@Gotfish there are some occasions when the 203k Consultant will allow a contractor to get an early Demo draw but for the most part, the contractor has to float his money until demo has been completed, checked, and approved. Then the Consultant will release the first draw. From there he/she will work on the next items in order to be checked for the next draw. This repeats until the project in finished. Once checked thr last time, the contractor will get their final draw.
@@donnyp3346 in theory yes. However you'd have to package your story to make it make sense for the underwriter. 1 method I learned from "MG the Mortgage Guy" is his 4-3-2-1 Method.
You buy a quad(4-plex) live in it for 1 year, then refinance to a conventional loan.
Then buy a tri-plex, live it for 1 year, then refinance to a conventional.
Then buy a duplex, live in it for 1 year, then go buy your dream single family home.
Once you get to that point, you'll have 9 doors paying for your dream home! It still has to make sense but typically when you move down in unit count, you move up in square footage per unit. This is viewed as an upgrade and easier to get approved.
Omg, I love how you put the content together! You are amazing at explaining things. Just gave you the 200th 'like' and going to subscribe :)
Thank you so much!!
so i currently have a fha loan property that is a multifamily that i purchased over a year with fha loan. its been 2 years now and i would like to buy another one with fha loan aswell, how do i do that?
Much respect. This is a solid youtube video no fluff just presentation
Glad you enjoyed it!
My guy deserves more subscribers! I'm in the process of purchasing my first home and appreciate you sharing your knowledge.
Awesome! Thank you!
When does the mortgage payment begin; during the repairs or after you move in?
Sober videos like this is what makes the internet worthwhile.
Thank you for not posting reaction video for idiots.
Hahaha man I hate those reaction videos and thumbnails with dumb, surprised faces
This video is evergreen. I'm saw FHA 230K on a listing, searched UA-cam and wham, a WTHYL video! Excellent!
Thanks for watching!
So glad. A house came up in my current neighborhood where I’m renting but can’t afford to buy. I’m considering doing this. Have to see how much and what work needs to be done.
Awesome!
Watching this video because I found a house that needs complete re-siding, half the windows replaced, and the deck completely replaced or torn down. Thanks for the knowledge.
Not looking to flip, just want to live there. It's a time capsule from the 80s
Wow! Thanks and best of luck. :)
Im studying for my NMLS. took the class online. Your videos are GREAT to clear up some info and reinforce it all.. THANK YOU KYLE!
Thanks so much!!
Thank you! Would love to see a video on Fannie Mae HomeStyle Renovation loan as well :)
Noted!
This content is now the reason we feel more confident in this being the right choice for us! Ty Kyle :)
I love to hear that. Thank you for watching!!
Can I just say I love ur videos, the way u explains things is just awesome.
Thank you so much 😀
Thank you! Would love to see one for Fannie Mae Homestyle Loan 🙏🏽
When applying for an FHA standard 203k loan, what’s the best way to do that? Just going to their website? It’s a little hard to navigate. And when I do the research myself and the Internet recommends lenders to me, when I call them the person talking to me goes “oh I’m not sure about that”. I feel like I’m going in circles even at the starting point
Thank you for your research for this video. It was very informative and very detailed. This video was exactly what I was looking for. Keep em coming sir
Glad it was helpful!
Your the only UA-camr I have to pull out a pin and paper with ....and you know what I’m not even mad 😂😂 great videos full of useful factual info .
Hahah welcome back to school. Thanks for watching!
Kyle Seagraves → winthehouseyoulove.com
Thought I was the only one
I wish i was told by the lender about the requirement that a professional general contractor has to do 90% of the work. I was planning on doing about 80% myself but now am between a rock and a hard place. Glad i saw this video before closing
Thank you so much for watching!! :)
Can you do video on current homeowners !!!!!I want to pull equity out my first home, so what’s the best product to use, when I want to keep my first home, & rent it out and then move into a 4plex using the 203k loan
Appreciate the information! Thanks!
You’re welcome :)
Just by the way you explained and broken down this so well you have a new subscriber. Thanks!
Welcome aboard! I hope you can get to watch more videos about FHA. Thanks for the sub. :)
Wow so glad I found you one this subject ❤❤
Thank you so much for proving all this value for free for us! This is great. Thanks again♡
Thank you so much for watching!! :)
The house we have under contract has the utilities turned off...at what point can we get them turned on? Can I live in the house during contraction?
This is awesome! I currently flip homes. - I have one that we want to keep and live in. We need to close in less than 30 days. - The best option I see is an acquisition + rehab loan (HML). Then refinancing it into my personal name. - Any other ideas on a shorter timeline?
Nice video Kyle
Glad you enjoyed it!
Where can I find the info where 6 months of payment can be deferred? Till after the rehab is done.
Wow, I may just work towards an FHA 203K Loan. And convert to a conventional. I’m not in construction but I’ve contracted construction projects for work so I know exactly the process to get work done. Wow. I’m so excited. Thanks. Please post more about this topic 😍
Awesome, best of luck!
Hi there I would like to say few things thx for this great job and great information it’s helpful I love the way u put the content together I will recommend ur videos to my friends once again thank you 🙏 and be safe
Thanks so much for watching and commenting! I'm glad it's been helpful!
Kyle Seagraves → winthehouseyoulove.com
Win The House You Love 🙏🙏🙏🙏🙏🙏👍👍👍👍👍👍
Thank you so much for the video. Could you go more in detail about the flowchart at the end. Like appraiser, finding out arv, permits/OPRA, title search, building Inspector, etc. ?
You're welcome! I'll add a follow up video to my video list :)
Thank you soooo much for this easy to understand video!
You are so welcome!
I love your videos so much! I work with VA and first time buyers a lot, and you're so relaxed and NOT YELL-Y like many of the "5 MISTAKES BUYERS MAKE DEAR GOD DON'T DO THIS YOU WILL REGRET ALL OF YOUR LIFE CHOICES UP TO THIS POINT {INSERT WEIRD GRAPHIC AND LOUD NOISE}." My style is calm, and patient - and I warn my clients before they listen, don't be driving because your voice is very chill. 🤣 Thanks for the awesome and informative videos that don't scare the mess out of my clients! 🙌
Thanks so much!!
Hahah no one likes loud obnoxious people, I don't get why there are so many like that on UA-cam!!
Thanks for sharing the videos! - Kyle Seagraves winthehouseyoulove.com
Your awesome bro. Just gave a TUP! AND SUBSCRIBED,! You come across as very down to earth. That is very important to me, keeep it uppp,
Thank you so much!!
You can’t sell the property after just a year or two? Will you gain profit from it?
Thanks for the vid. I’m battling as a first time homebuyer if I should do this loan.
Best of luck!
I don’t usually comment in videos, but you definitely deserve the thumbs up 👍
Excellent informative video. I’m currently thinking about a major project in my home. This was very helpful.
Glad it was helpful!
Can I buy a home with a conventional loan then refinance into this 203k program? Going to be hard to find a seller willing in this hot Phoenix market.
So much information and my pen has not stopped working since the beginning 😂! Thank you
Happy to help!
Thanks for the video. That was really helpful. What other ‘rehab’ loans or construction loans do you recommend for doing renovations? Or loans that can work in tandem with a conventional loan?
HELOCs are a popular way to finance home improvements, it is a secured loan & backed by your home. You can also qualify for lower interest rates than you would for an unsecured personal loan.
If I refinance into a conventional loan, would i be able to use the FHA loan again on another property?
Hello there, how are you
Many Thanks for all this information.
We are located in south Florida. Do you know anyone who can help us with the process in getting this 203k. We have a general Contrator license. We want to get further information
Thanks for all your help!!!
Great video, Kyle! Is it possible to buy a multi-unit with an FHA, then a year later get a single family with an FHA/203k? For example, buying a multi-unit as a single person then a year later your family size doubles and you need more space, but there aren’t any affordable options that meet your needs SOOOO you looked for affordable properties that you can improve. I saw your other video about 2 FHAs but I wonder how a 203k affects that. Thanks!
Thanks! You certainly can :)
Do you have to be a first time home buyer? Or can I do this many times?
This was fantastic! Thank you for a well-rounded detailed explanation!
Glad it was helpful!
When would be the best time to select a 203K consultant? Before or after applying for a mortgage?
Great video! I am a new LO and I am working with a contractor that specializes in ADUs. Homeowner is already living in home, so would 203k loans work in this situation? What loan(s) besides cash out refi would you recommend? ADU's cost anywhere from $180k-$380k here in CA.
Thanks for the info, your videos are very clear!
You're very welcome! Thanks for watching!
so can you live in the home during the repairs? or can you only move in after its all done?
Can you move into the home before repairs are completed?
If habitable, yes
Can I use a 203K loan if my home is not a fixer upper? If I wanted to do an addition to my house would that qualify for the 203K loan?
You sure can!
What if you qualified for less than the LTV before you switched to 203k? Is my max loan that plus repairs? Or can I borrow more because the property is with more?
I'm in California, is there any stipulations with FHA 203K Standard loans that does not allow down payment assistance? My lender claims I don't qualify for DPA because the repairs exceed $31K. I've been researching and haven't found anything to support that. It sounds like she's inexperienced with 203K and trying to process it as Limited as opposed to a Standard. Can anyone offer insight???
I'm looking at a couple properties with old mobile homes on them. If I am to buy one of these my plan would be to scrap out and remove the old home from either lot. and replace with a new home. I don't know, can I rehab the LOT instead of the home? By using an FHA 203k loan or would I need a different type of loan? I think price may keep me in mobile homes but would go modular if I could.
@@lonelyp1 you would need a construction loan. This is slightly different feom 203k loan
Can i use a 203k to refinance for repairs/remodeling?
Great video again!! If the contractor takes 6 months to finish the project will I be making monthly payments for those 6 months?
Thanks! Since the 203k closes before work is done, you'll have to start paying back the loan after it closes even if the work takes a few months.
Do I need to verify income for this loan?
It says that you need to have 2 years of employment in the same job. Could this be any job? Like could I work as a waiter for 2 years and get approved or does it need to be a higher level job?
It doesn't have to be in the same job. And they don't look at "levels" of jobs. It can be any job :)
I love the video. You did a great job in explaining the FHA 203K loan and the process....Hi what if your family owns the property (house and Land) but you want to renovate the home. Do you have to put the property in your name. My family have a home that sits on 1.4 acres. I want to add a double car garage with living space and remove existing roof on existing home and create living space above. I looking at between 200-250k in repairs to update the home.
Do you start paying your mortgage once u move in or do have to pay mortgage regardless while thier rehabing??
Once again, an incredibly great amount of good information. Thanks again! 👍
Glad you enjoyed it!
Is it possible to live in the house during the repairs?
Any changes for these loans on 2023?
I am new to this channel. I am very interested in this type of loan. Do you know of any mortgage banks in Indiana that will approve these types of loans? I am a veteran and can't get approved or afford a move in ready home. I live on a pension. I desperately want my own home. If you can help me please, your assistance would be greatly appreciated.
www.mottomortgage.com/offices/experts-indianapolis/
@@WinTheHouseYouLove thank you.
What about Missouri (st Louis)?
Vet...zero down
Any solution for House backing Freeway Noise ?
Don’t have any Soundwall build by Highway Department yet
Oooh dang, I don't!
I use this white noise machine when I sleep, but not sure if that would help: www.amazon.com/Marpac-Classic-White-Noise-Machine/dp/B00HD0ELFK/ref=sxts_sxwds-bia-wc-p13n1_0?crid=3P6C8MALFD8FH&cv_ct_cx=white+noise+machine&dchild=1&keywords=white+noise+machine&pd_rd_i=B00HD0ELFK&pd_rd_r=340edac1-e0d9-4b7d-a0b3-c4cb3058837e&pd_rd_w=eq1PK&pd_rd_wg=Pmie8&pf_rd_p=224b59c9-c98f-46fd-96d6-8e952866d6a3&pf_rd_r=7G452QRQ7FTPJJA405RG&psc=1&qid=1601046980&sprefix=white+noise%2Caps%2C167&sr=1-1-a14f3e51-9e3d-4cb5-bc68-d89d95c82244
Can you move in before the repairs are done? If the whole house has been redone except for let's say the basement needs redone
I'm not sure if this is safe, but you can ask your contractors about this.
By far one of the best breakdowns of a loan program i've seen. You've got a fan and a subscriber in me.
Thank you so much!!
You applying for a loan
Hey Kyle, for a senior citizen who has some roof issues, would a cash out or HELOC loan be the way to go? I’m not really sure how the bank would be willing to lend me money since I’ve got some serious water damage. What should I look for loan wise?
What would a ideal monthly payment cost be like on a FHA loan with a 5-10% down payment on a home ranging from 100-150k?
Here's a good plug-and-play calculator: usmortgagecalculator.org/
can you buy a foreclosure with a 203k loan?
What if you purchase a duplex with an 203k loan? Can you live in the first unit and rent out the second unit, or will you have to wait until the first year has passed to have any tenants?
You can live in the first unit and rent out the second immediately :)
Can you do 100% financing, aka no down payment with a much higher credit score? Im looking at buying a fixxer upper but dont want to put a down payment down and would like to do a loan like this for some renos!
great video!!! highly appreciated!!! very detailed!!!
Glad you enjoyed it!
"Sweat equity"? What is that? How does it differ from normal equity?
www.lendingtree.com/home/mortgage/how-to-use-sweat-equity-to-get-a-mortgage-with-no-down-payment/
Say you purchase a small home with 2 bd 1 bath could you do an addition with the 203k loan?
Yep!
wait I think you missed something, what about the FHA appraiser? where does he come into play?
I have tons of videos on FHA and appraisals. This is specifically on 203k
@@WinTheHouseYouLove Yes but my question is the FHA appraiser is also involved in the 203K ? And at what point
Great video! Do you need to work with an outside contractor or can you do all the work yourself?
Thanks!
You can only do 10% of the work yourself. The other part has to be done by a contractor.
Kyle Seagraves → winthehouseyoulove.com
So does the 1 year owner occupied clause start at the beginning of the loan or 6 months after the repairs are done and you move into the property?
You'll want to read through the occupancy portion of the closing documents
Great video. This is jammed packed with information!
Glad you enjoyed it!
Can you do a 203k on land purchases along with the build ? Also single family converted to multi family ?
No, 203k is for rehab of existing homes. You'd just need an FHA construction loan
So does a house need to be left in perfect condition after the repairs? A house I'm interested in does not have the lower kitchen counters, the appliances are disconnected and some drywall was removed to access water damage. Also, due to the water damage carpet in the living room was removed. The walls are dirty but that's more from normal use, like the hand rail looks dirty from people using it going upstairs. Also, the 2x4s don't look damaged, there was no rotting wood.
So my real question is, could I get away with just having the kitchen fixed? I could do the painting and flooring on my own later. I'm asking this, because the asking prize is 250k and my max loan is also 250k. If I include the repairs I would go above that. But if I only spend 10k reassembling the kitchen I could make a 240k offer on the house and still have a decent chance at getting the property.
Perfect, no. Acceptable to FHA standards, yes. FHA doesn't care about cosmetics, only health, safety, and function.
Great video, but I'm pretty sure the USDA 203k loan is a zero down program, no??
Thank you! In this video, I think I included the down payment information. Here's the timestamp: 1:47. Hope it helps. :)
@@WinTheHouseYouLove It's my own fault. I thought I was watching a video on the USDA rehab loan (which IS a zero down loan). So, when you quoted the downpayment at 1:47, it confused me. Apologies.
Question can you have a home built from the ground up with FHA? If you have done a video can I have link please? Keep up the good work
You sure can! You're looking for an FHA One Time Close loan
@@WinTheHouseYouLove My man good looking plus I'm subscribing!
Excellent video, very helpful. I'm curious after watching your FHA requirement video, if the standard FHA loan allows for a multi family 1-4 units, and the FHA 203k requires work to be started in 30 and completed in 6 months, how would this work in a multi with current tenants? Is there an extension/waiver for occupied units? Or does 203k lenders just not consider occupied multis for loan approval?
I believe they do you just have to live in one of the units.
Hmm, I'm not completely sure. You'd likely need to talk to an attorney about navigating the occupancy issues
Can you buy a acreage with a modular home on it with FHA? If not what loans can i get for a modular home.
You sure can!
203K FHA almost always carry a higher interest rate that normal FHA mortgage. I suppose if you get a house that is an absolute need of repair, and you'd need the immediate large amount of cash to rehabilitate the property before you can live in it, then it's worth it. Otherwise, if the home is relatively livable (good foundation, structural, plumbing, no molds, no termites, etc.) and able to be rehabilitated with a simple paint job and cleaning, you'd save much more on interest payment by going with a regular FHA and saving up and spending that money to fix the property to the way you want it to be. My lender always gave me different scenario between FHA, FHA limited 203k, and FHA standard 203k for every house that I offered on that needed work, just so we can make informed decision. Just my humble opinion.
Great video! I imagine a contractor is going to charge about $500-$1000 for the consulting, the detailed line by line bid and the countless times they have to communicate with the homeowner/appraiser/Lender.
Hi! Thanks for watching! :)
If they are a competent contractor, I'd expect that to be built into the costs whether directly or indirectly.
If they do a good job and the pricing is in the right ballpark, don't nickle and dime them. Especially considering that the work will likely get you some extra equity on top of what you are paying the contractor.
This is just upsetting. My husband has better than 580 score and still being refused 203k seriously wondering why. We can even put 10% down but we are just told no. No reasons just no! I’d love to know of lenders who do 203k loans.
I think most mortgage brokers don’t want to deal with the hassle and paperwork. That’s the answer I pretty much got from my lender even after I took my license to show I was a contractor.
Hey if you can help me out with this question, you mentioned that with the 203k loan you need to live in the house for about a year all that time you would also need to pay the interests that comes with the loan?
Thanks for your question! Yes, with a 203k loan, you need to pay interest on the loan amount during the rehab period and while you live in the house.
Will 203k cover a house that's insides have been stripped down to its studs? Literally? No drywall, no ac, no heat; just the frame and the outside walls and roof. Looks like a completed house from the outside and but you go inside and its just frame.
203k Standard will work for this
Would it still take as long if I was buying a family members home with out any realtors involved?
Yes
Fantastic information!! The way you presented everything was so clear and all encompassing. Can you use 203k to buy a multifamily home if you live in it?
Yes! Multi-family housing that needs rehab can be financed with the FHA 203k. The owner/mortgage holder must also live there. It must also be the owner's primary residence. Thanks for watching :)
Yeah I guess
You make it seem so streamline. Thanks
Wow! Thanks for watching!
What are my rehab options for a house that I already own free and clear with no mortgage?
Same as this video
Man I love the information, and I love how this is filmed. What software did you use to do the split screen?
Thanks! Just Final Cut
When do we have to pay the 3.5% down payment? And what happens if the housing market crashes in the middle of rehab?
At closing. Nothing happens