Yahoo Answers is shutting down on May 4th, 2021 (Eastern Time) and beginning April 20th, 2021 (Eastern Time) the Yahoo Answers website will be in read-only mode. There will be no changes to other Yahoo properties or services, or your Yahoo account. You can find more information about the Yahoo Answers shutdown and how to download your data on this help page.
Trending News
Just got my offer accepted for my first house. Im using an FHA 203k loan... questions (Big read)?
Ok, I got pre-qualified for an FHA 203k loan. The house I put my offer in is for 74k, its a 1900's two family mill style house. It needs a good amount of work, my gf's dad is a very skilled home renovator, its what he does as a job, Im not sure what he has for licenses, but in his career he has been: a realtor, a home inspector, a licensed electrician, a licensed plumber, and a few other things. He now just works with another guy flipping houses. Hes going to be doing all of our work for us. He estimated the house needs about 35k to make it beautiful and functional. If he isnt licensed, can he still submit that estimate to FHA, or are they going to send down their own people to take estimates, etc... I dont really know too much of what needs to be done next. Any information on how FHA 203k works would be totally appreciated.
Thanks
2 Answers
- Lisa LLv 61 decade agoFavorite Answer
You need to talk to your lender on this. An appraiser will be sent out by the mortgage company to determine the value before & what it will be after repairs are done. Whoever does the work will need to be licensed & when he asks for draws for work done it will need to be on company letterhead. I have had an underwriter make us prove it is a legitimate business by using a telephone listing or something from the BBB. You will need to be on the up & up. Again...check with your lender for details.
- 5 years ago
Most real estate contracts will state that the buyer may change loan programs as long as: The seller's portion of closing costs is not affected The closing date is not affected Should you change from a conventional loan to an FHA, for example, the FHA appraisal may require repairs to the home not previously negotiated. Should you change into a VA loan, there are certain costs a seller is required to pay, that were obviously not negotiated in the original contract. Figure out the best financing (for your situation) program first, then write the offer.
