Secure Dream Home Transformation with FHA 203k Renovation Loans
Types of FHA 203k Loans
There are two main types of FHA 203k Loans: the Standard 203k and the Limited 203k. The Standard 203k is suitable for major structural repairs and renovations, with no cap on the amount that can be borrowed up to FHA loan limits. On the other hand, the Limited 203k is designed for smaller projects, capping the renovation costs at $35,0002.
How to Qualify for an FHA 203k Loan
To qualify for an FHA 203k Loan, you must meet certain eligibility requirements. These include having a credit score of at least 580 for the 3.5% down payment option, or a score between 500 and 579 for a 10% down payment. Additionally, the property must be a primary residence, and you must work with an FHA-approved lender3.