Comments on: Questions about FHA Financing http://www.203kmortgagelender.com/blog/questions-about-fha-financing/ Information, Questions & Answers about the FHA 203K Wed, 01 Feb 2012 03:57:15 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: 203K Mortgage Lender http://www.203kmortgagelender.com/blog/questions-about-fha-financing/comment-page-1/#comment-1020 203K Mortgage Lender Wed, 20 Apr 2011 16:59:28 +0000 http://www.203kmortgagelender.com/blog/?p=66#comment-1020 <strong>Linda Asked:</strong> We would like to purchase a mixed-use building and finance it with an FHA loan (not necessarily a 203k). Mortgage brokers have been telling me that FHA will not finance a mixed use building and that I would need 25% down, and saying it would require a commercial loan. What is the real story? Can I get an FHA loan for a mixed use property? Is this a losing battle? Thanks for any info - <strong>203K Mortgage Lender's Answer:</strong> On 203k's, FHA will look at mixed use residential properties, HOWEVER the ratio of residential to mixed use varies from a maximum of 25% to 49% (depending on the number of floors and layout of the structure) Also, "No" 203(k) funds can be used to improve the commercial portions of the property. If you can't get the loan done as a standard FHA 203b then your only choice would be the FHA 203k option which is one of the benefits of using a <a href="http://www.203kmortgagelender.com/203k-lenders-directory.html" rel="nofollow">203k Specialist</a> because they can do both the FHA 203k & 203b. Best of luck on your mixed-use purchase. 203K Mortgage Lender Linda Asked:
We would like to purchase a mixed-use building and finance it with an FHA loan (not necessarily a 203k). Mortgage brokers have been telling me that FHA will not finance a mixed use building and that I would need 25% down, and saying it would require a commercial loan. What is the real story? Can I get an FHA loan for a mixed use property? Is this a losing battle?
Thanks for any info -

203K Mortgage Lender’s Answer:
On 203k’s, FHA will look at mixed use residential properties, HOWEVER the ratio of residential to mixed use varies from a maximum of 25% to 49% (depending on the number of floors and layout of the structure) Also, “No” 203(k) funds can be used to improve the commercial portions of the property. If you can’t get the loan done as a standard FHA 203b then your only choice would be the FHA 203k option which is one of the benefits of using a 203k Specialist because they can do both the FHA 203k & 203b.

Best of luck on your mixed-use purchase.

203K Mortgage Lender

]]> By: Linda http://www.203kmortgagelender.com/blog/questions-about-fha-financing/comment-page-1/#comment-1017 Linda Mon, 18 Apr 2011 15:56:53 +0000 http://www.203kmortgagelender.com/blog/?p=66#comment-1017 We would like to purchase a mixed-use building and finance it with an FHA loan (not necessarily a 203k). Mortgage brokers have been telling me that FHA will not finance a mixed use building and that I would need 25% down, and saying it would require a commercial loan. What is the real story? Can I get an FHA loan for a mixed use property? Is this a losing battle? Thanks for any info - We would like to purchase a mixed-use building and finance it with an FHA loan (not necessarily a 203k). Mortgage brokers have been telling me that FHA will not finance a mixed use building and that I would need 25% down, and saying it would require a commercial loan. What is the real story? Can I get an FHA loan for a mixed use property? Is this a losing battle?
Thanks for any info -

]]> By: 203K Mortgage Lender http://www.203kmortgagelender.com/blog/questions-about-fha-financing/comment-page-1/#comment-968 203K Mortgage Lender Wed, 09 Feb 2011 21:14:00 +0000 http://www.203kmortgagelender.com/blog/?p=66#comment-968 <strong>Sheri Asked:</strong> we are looking at purchasing a home that is not finished. The partially built home (foundation, roof, doors & windows) was left when the GC went bankrupt. Can we use a 203K loan to buy and finish the home? Also my husband is a contractor can he do the work? Thank you <strong>203K Mortgage Lender's Answer:</strong> Hi Sheri, As far as your husband being a licenced contractor and doing the work himself that is allowed. Properties that are either abandoned or left unfinished by contractors or homeowners are eligible but only if the property has already in existance for one year. In other words, no New Constructions and it has to be a property that has already been issued a Certificate of Occupancy from a local agency - a minimum of 12 months back. If in your situation , the property doesn’t qualify for the FHA 203k loan then ther e might be a lender on the 203K Mortgage Lender website that could possibly still help, so let us know and good luck. 203K Mortgage Lender Sheri Asked:
we are looking at purchasing a home that is not finished. The partially built home (foundation, roof, doors & windows) was left when the GC went bankrupt. Can we use a 203K loan to buy and finish the home? Also my husband is a contractor can he do the work?
Thank you

203K Mortgage Lender’s Answer:
Hi Sheri,
As far as your husband being a licenced contractor and doing the work himself that is allowed.

Properties that are either abandoned or left unfinished by contractors or homeowners are eligible but only if the property has already in existance for one year. In other words, no New Constructions and it has to be a property that has already been issued a Certificate of Occupancy from a local agency – a minimum of 12 months back. If in your situation , the property doesn’t qualify for the FHA 203k loan then ther e might be a lender on the 203K Mortgage Lender website that could possibly still help, so let us know and good luck.

203K Mortgage Lender

]]> By: Sheri Faulkner http://www.203kmortgagelender.com/blog/questions-about-fha-financing/comment-page-1/#comment-966 Sheri Faulkner Tue, 08 Feb 2011 16:09:20 +0000 http://www.203kmortgagelender.com/blog/?p=66#comment-966 we are looking at purchasing a home that is not finished. The partially built home (foundation, roof, doors & windows) was left when the GC went bankrupt. Can we use a 203K loan to buy and finish the home? Also my husband is a contractor can he do the work? Thank you we are looking at purchasing a home that is not finished. The partially built home (foundation, roof, doors & windows) was left when the GC went bankrupt. Can we use a 203K loan to buy and finish the home? Also my husband is a contractor can he do the work?
Thank you

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