Back to Glossary
Rehabilitation Loan
January 19, 2023
With the FHA Rehab Loan, you may refinance your house and build your home equity via repairs and renovations. This 203(k) permits you to purchase an older home for a modest cost (and great interest rates). You may then modify your property to suit your wants and style while growing equity with the new changes. Furthermore, the FHA 203(k) loan is a handy option to buy or refinance a property without requiring a good credit score, a significant down payment, or excessive interest rates. While section 203(k) insured loans save borrowers time and money, they also benefit lenders by allowing them to get the loan guaranteed even if the property has not yet been renovated and the condition and value of the house do not yet provide acceptable security.
Related Topics
10 Best Home Builders in Nashville, TN: Find Your Dream Home Today
Wesley Mortgage 2023 Year-In-Review
What Is a Property Tax Lien
What Is an Adjustable Rate Mortgage (ARM)?
Navigating the Process of Mortgage Modification
What Is Non-Recourse Lending?
What Is a Short Sale?
When Is the First Mortgage Payment Due?