Eliminate the competition in an extreme seller’s market?

We have been sounding the alarm for months about the lack of inventory of homes for sale in Metro Atlanta and especially in Cherokee County.  The supply of homes has become so diminished, we have been helping our buying clients through a process that allows them to purchase properties in need of repair.  This can eliminate buying competition because most buyers are intimidated by the cost of repairs and the difficulty to get traditional lending for these types of homes. 

An FHA 203(k) streamlined renovation loan is an excellent loan for homes in need of repairs because it allows the buyer of the home to include up to $35,000 for repairs in their loan amount.  

Here are the facts about FHA 203(k) loans:

1.      Once the sale is completed, the repairs must be completed by a lender approved, licensed contractor.  When all the repairs/improvements are completed satisfactorily, these contractors are paid by the lender from the buyer’s loan proceeds.  

1. These loans are offered by most traditional lenders and have competitive rates. 
2. These loans require only a 3.5% down payment but are only available to owner occupant borrowers.  
3. These loans permit borrowers to include lender required repairs as well as optional improvements like granite countertops, stainless appliances and minor bathroom and kitchen remodels. 

This loan type is excellent too if you have a property to sell in need of repairs.  When marketing a home in need a repairs, we recommend that estimates for these repairs be readily available to buyers viewing the property.   Ideally, it is best to provide quotes prepared by a lender approved contractor in conjunction with the contact information for a preferred FHA 203(k) lender.   Taking this added step before marketing the home will reduce the buyer’s anxiety about the “unknown” costs of repairs and ensure that the transaction goes smoothly for all involved.

Visit http://203k.KurtandSheila.com for more information on this loan type.