Oklahoma FHA 203k Loans Surges Remodel Efforts
At 1st Capital Mortgage, we offer a number of different loans to assist you in all aspects of home buying. One loan that is specialized for helping in remodel efforts is called the Oklahoma FHA 203K loans. This is an incredible loan that is able to offer funds for the renovation and remodel construction work for your home. The loan is better for you if you have already purchased a home and need to make improvements, remodeling or refurbishing in your home. Please contact us in order to learn more about this very practical loan. You can reach us by dialing 918-274-1519 today. Our team would love to assist you with any questions that you may have considering the Oklahoma FHA 203K loan.
It is important to remember that there are two different types of the FHA 203K loans. The first of these types is the normal 203K, which is designed to help various properties that require additional repairs and structure. This could include needing a new roof, room addition, or work with the foundation. The second type of the 203K is called the streamlined. The streamlined 203K is designed for nonstructural repairs. These repairs could include painting, new appliances, or other work that does not require structural repair. This loan is perfect if you have improvements of those kind when remodeling your home.
As always, there are guidelines and minimum requirements for this loan. For the Oklahoma FHA 203K loans, the minimum loan amount is $5000. You must have a loan of $5000 in order to qualify for the FHA 203K loan. If you do not have a loan requirement of a minimum of $5000, there is no need to even begin this loan process. This is because that most home repairs are above $5000. In order to learn more about this requirement, please call our friendly team of customer service representatives who love to assist you and answer any questions that you may have.
Fortunately, with FHA 203K loans, there is no maximum loan amount. There’s been no established maximum loan amount required for these loans in repairing a home. In order to qualify for this loan, you must have an appraised value of the home. The appraised value must cover the primary loan amount and the cost that the repairs and renovations would require. We can recommend a number of home appraisers if you are interested in appraising your home.
You may be wondering, how do I qualify for the FHA 203K loan? In order to qualify for these loans, you must hire an FHA consultant who will be overseeing the various bids and the overall process during the construction and renovation phases. We can recommend a number of FHA consultants if you do not know where to find any. Feel free to call our customer service team who is available to answer your questions specifically around FHA consultants and home appraisers.
The reason you are required to hire an FHA consultants and home appraisers in order to qualify for an Oklahoma FHA 203K loans is to validate the loan amount that you are requesting. The home appraiser will evaluate the cost of the home and the cost of construction that goes into the repairs and renovations. The FHA consultant will be able to authorize the release of the funds in order to pay the construction crews and contractors as repairs and renovations on your home are completed. These guidelines are important in order to maintain accountability and security with your loan.
There are many differences between the Oklahoma FHA 203K loans and other loans that are available. Let’s begin by explaining the difference between the Oklahoma FHA 203K loans and the standard FHA 203B loan. The main difference is that the FHA 203K loan exclusively deals with construction, repair, and renovations, of which can be later brought into permanent financing. The standard FHA 203B loan is really only if you want to permanently finance your home from the very beginning. Call our team to learn more about the differences of these loans.
Is also important to remember the differences in mortgage insurance when purchasing a Oklahoma FHA 203K loans. There are differences in mortgage insurance for any FHA loan as compared to a different loan such as a conventional loan. The main difference is that a major requirement is that the loan must be paid over the entire life of the mortgage and will not ever discontinue even if the loan value decreases below 78%. This is different because a conventional loan’s mortgage insurance is terminated if the loan value ever plummets below 78%.
Regardless of where you began, mortgage insurance is important whenever buying a loan. If you’re able to put a 20% down payment on your loan, mortgage insurance is not action required with a conventional loan. But, if you’re not able to do this, and you wanted Oklahoma FHA 203K loan, then you’ll have to consider purchasing mortgage insurance. Call our team today in order to figure out which options are best for you. They are available to answer any questions you have and are able to provide a wealth of knowledge to put you at ease when purchasing your new home.
In summary, the FHA 203K loan program not only provides funds for making nice improvements to your home, which funds can be used for the repairs and costs of construction. There two different types of FHA 203K loans which include the normal and the streamlined. You must have a loan amount above $5000 in order to qualify for the FHA 203K loan. You must also have your home appraised and hire an FHA consultant in order to oversee the bid and construction process. Having these two individuals (an appraiser and an FHA consultant) involved in the process is required in order to qualify for this loan. There are many differences between the Oklahoma FHA 203K loans and other loans that are out there. If you have any questions about these loans then please pick up the phone and give our team a call at 918-274-1519 today.