FHA 203K LOAN PROCESS TO PURCHASE DISTRESSED HOME, BANK OWNED, REO HOME IN ARIZONA
There are over 50,000 homes here in Phoenix, Arizona in the foreclosure process. I can guarantee you that these homes will need work before being purchased. Banks are not pumping monies into these properties. They are selling bank owned homes in 'AS-IS" conditions which means buyer will be responsible for all repairs. Wow, that is a lot of responsibility for first time home buyers. Buying their first home can be overwhelming plus repairs can send some of them over the top. However, we have the FHA 203K loan to finance the repairs to the home.
PREQUALIFY FOR FHA 203K LOAN RIGHT NOW
The majority of loan officers do not touch this loan product because it can be very complicated and intimidating to some of them. However, we must follow the money and service the clients. So, the Real Estate and Beyond Team has partnered with The Lending Company to service the FHA 203K loan to service our clients. Let me explain the process of the FHA 203K loan to purchase distressed home, bank owned, reo home in Phoenix, Arizona:
- Borrower fills out loan application and supplies loan officer with all necessary document to obtain loan approval
- Borrower is approved for the loan
- Realtor instructed to put FHA 203K Streamline loan as loan type on the purchase product
- General Contractors must be approved by HUD to make repairs to home
- List of repairs along with cost is prepared by General Contractor and submitted to loan officer for review
- Borrowers can do the work if they show they are licensed and bonded. Borrower will only be reimbursed for materials not labor.
- Appraisal ordered to determine value of home after repairs
- Loan is funded including repair costs
- Only two draws will be conducted for the repair costs. No inspections are needed for work under $15,000. Money must be requested to the bank. We heavily advise to snap pictures and/or video during the process to have a record on hand if ever challenged by the bank.
- 10% contingency fund was added to the repair costs for emergency purposes. If this portion is not needed, then it goes back to the bank and the loan is reduced to that amount of money-principal reduction.
- Job completed and all bills submitted to bank for final payment to General Contractor
- Home buyers move into their newly renovated home
The Real Estate and Beyond Team headed by Harry F. D'Elia is ready to assist all homebuyers in purchasing real estate. Please feel free to visit our main web site at www.DeliaTeam.com
SEARCH FOR BANK OWNED PROPERTIES PHOENIX, ARIZONA
PREQUALIFY FOR FHA 203K LOAN RIGHT NOW
Make the Call, Set the Plan, Do the Deal$!
Feel free to listen to my Radio Show to learn more about the phoenix real estate market, new trends, and the latest opportunities. The Real Estate and Beyond Radio Show Airs every Saturday from Noon-2:00pm on Conservative Newstalk KKNT 960am in Phoenix, Arizona. You can listent to past shows, or stream on-line.
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