According to International City Mortgage, renovation loan programs are available for properties that need work. Here’s an idea of the programs that are available:
The FHA Section 203(k) insurance program enables borrowers to finance the purchase or refinance of a home and the cost of its rehabilitation through a single mortgage. This program is used for large, complicated improvements such as major rehabilitation, remodeling, new construction such as a room addition, repairs to structural damage, or site amenity improvements.
The Streamlined FHA 203(k) program is intended to facilitate uncomplicated rehabilitation and/or improvements to a home for which plans, consultants, engineers and/or architects are not required. This program comes with a total rehabilitation amount of $35,000. Examples of eligible improvements are listed below (this list is not all-inclusive):
- Repair/Replacement of roofs, gutters, and downspouts
- Repair/Replacement/Upgrade of existing heating, ventilation, and air conditioning systems
- Repair/Replacement of plumbing and electrical systems
- Repair/Replacement of flooring
- Minor remodeling that does not involve structural repairs, such as kitchens
- Exterior and interior painting
- Weatherization, including storm windows and doors, insulation, and weather stripping
- Purchase and installation of appliances, including free-standing ranges, refrigerators, washers and dryers, dishwashers, and microwaves
Our newest listing, a historic property at 22195 Prospect Street needs work. We’ll have information available at this week’s scheduled Open Houses!