FHA 203k Streamlined Rehab Loan Program – This program is intended to facilitate uncomplicated rehabilitation and/or improvements to a home for a purchase or refinance loan with total costs of repairs including 10% contingency reserve and repair costs not to exceed $35,000.
Other elements of the program:
- Many specific repairs and upgrades are eligible, while others such as major rehab improvements such as movement of load-bearing walls, new construction, repair of structural damage, landscaping, repair or improvements to pool, etc. are ineligible
- Work must be done by a licensed and insured contractor or general contractor overseeing sub-contractors
- Work must be completed in three months
- There is a final appraisal inspection to confirm work is completed as per bids and invoice
- Two draws of repair funds 50% at time of loan closing and 50% after final inspection