Colorado Springs Vintage Homes Blog

Where do I find a loan to buy a distressed property?

Want to buy a Colorado Springs Foreclosure, check out FHA 203K Loans –

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With foreclosures at an all time high in the Colorado Springs area, it’s a perfect time to pick up a good deal on a home.    BUT, the challenge is that many of these homes need work and many buyers don’t know they have options on loans that can help them purchase the property as well as still have money for the  work that needs to be done.   One of the best programs around is the FHA 203K Loan.  It provides a great way to buy a distressed property and to still have money to get the repairs done.   Let’s start with some of the basics.

What type or properties are eligible?

• A one to four-family dwelling that has been completed for at least one year, including townhouses and condominiums
• The program can also be used to convert a one-family dwelling to a two-, three-, or four-family dwelling 

Where can I get more details?

• The HUD web site has more information than you probably ever need to know, but it’s worth reading the highlights on the web site.   There is also a great section about FHA 203K Loans on the FHA web site.

What type of Improvements are eligible in the FHA 203K Streamline?

• Repair/Replacement of roofs, gutters and downspouts
• Repair/Replacement/upgrade of existing HVAC systems (When and why should I replace my furnace?)
• Repair/Replacement/upgrade of plumbing and electrical systems
• Repair/Replacement of flooring, tiling and carpeting
• Remodeling, such as kitchens and bathrooms
• Weatherization, including storm windows and doors, insulation, weather stripping
• Purchase and installation of appliances, including free standing ranges, refrigerators, washer/dryers, dishwashers and microwave ovens
• Repair/replace/add exterior decks, patios, porches
• Window and door replacements and exterior wall re-siding  (Colorado Springs home Improvement — it’s all about the windows)
• Basement finishing and remodeling
• Basement waterproofing
• Septic System and/or well repair or replacement
• Lead-based paint stabilization
• Accessibility improvements for persons with disabilities

 The next post will include a step-by-step guide of the application process.

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Kathy (719-287-1049)   KTorline@msn.com

Tags: FHA 203K Loan, FHA loan downpayment, FHA loan seller assistance, FHA loans, Foreclosed homes in Colorado Springs, foreclosures colorado springs colorado

This entry was posted on Tuesday, January 12th, 2010 at 10:00 am and is filed under For Buyers, Mortgage and Finance. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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