FHA 203(K) “Rehab Loan”
- 3.5% minimum down payment requirements
- Upfront mortgage insurance premiums financed into the loan
- Monthly mortgage insurance premium
- Existing homes eligible
- Seller concessions up to 6% of sales price
- Condominiums may be eligible, must be on FHA approved list or FHA single unit spot approval
- No income limits
- No miniumum on renovations costs
- Gifts allowed toward down payment
- Minimum $5,000 renovation cost
The Section 203(k) program is FHA’s primary program for the rehabilitation and repair of single family properties. As such, it is an important tool for community and neighborhood revitalization, as well as to expand homeownership opportunities.
