Replies (10)
- Texas Banker
- Contributions:517
Best way to handle it will be an escrow holdback.
Any portfolio lender should be able to handle it.
Expect to allocate addtion 50% of repair cost for overruns.
I can speak for my self; %5 is not an option for this type of transaction, expect to put down minimum 10%, perhaps 20% depending on the scope of the project.
Best Regards,
Any portfolio lender should be able to handle it.
Expect to allocate addtion 50% of repair cost for overruns.
I can speak for my self; %5 is not an option for this type of transaction, expect to put down minimum 10%, perhaps 20% depending on the scope of the project.
Best Regards,
- Rudi Hofmann, "LUXURY HOME LOANS CA"
- Contributions:7435
You might also wish to check some local Community Banks. Some will lend up to 75% on future value.
Happy funding, Rudi
Happy funding, Rudi
- Tim Jarvis, "timjarvis48"
- Contributions:1
We do construction completion loans.
Tim Jarvis
[edited by Zillow moderator to remove website]
Tim Jarvis
[edited by Zillow moderator to remove website]
- Deborah Garvin, "DeborahGarvin"
- Contributions:449
Concuring with Rudi...local or Regional banks are going to be your best best. Construction completion loans are going to be expensive, but the final value may make it worth while.
Very, very unlikely a lender is going to do an escrow holdback for construction complete. A new roof or new carpet, possibly. But not completion constuction. Lenders do not like to allow holdbacks in the first place and they definately want the deal closed and done within a 30 day window.
Very, very unlikely a lender is going to do an escrow holdback for construction complete. A new roof or new carpet, possibly. But not completion constuction. Lenders do not like to allow holdbacks in the first place and they definately want the deal closed and done within a 30 day window.
- Sophie Ramirez, "Whatever5354"
- Contributions:2
There is a FHA 203K program - similar to construction loan. The minimum down payment is 3.5% and value will base on the completed value. There is a requirement of 1% upfront UPMI. However, the borrower has the opportunity to do refinance 4 months later under the conventional loan and will be refunded the UPMI prorated. There are many information to cover and if you interested, we can further talk off line. Thank you
- Sharon Lewis, "Sharon Lewis"
- Contributions:4259
I work with a mortgage lender here in the Raleigh area, their company, which is well known, also has a program like that. You can email me and I will give you their name, number and website, if you want.
- Clay Branch, "Georgia Loans"
- Contributions:8829
@ Pandora: A 203K loan is not an option at that price range if the property is in Charlotte ( as the OP listed ) since the max FHA loan amt is $303,750. ( Single Family )
- Sharon Lewis, "Sharon Lewis"
- Contributions:4259
@Clay, its always good to know you are around to clear things up for when someone puts out (accidentally I bet) the wrong information....
- Sophie Ramirez, "Whatever5354"
- Contributions:2
Thank you Clay, I did not see the location is in Charlotte. However, I thought this county max at $271,050 on the max FHA loan amount (SFR)?? Thanks of the info
- Willie Pope, "Willie Pope"
- Contributions:3
You really need to sit with a local community bank- this is a relatively easy transaction - provided you check out finacially - happy to offer some guidance - many moving parts but a deal you should be able to make happen -
Best of luck with it.
Best of luck with it.
How to finance an unfinished REO
I've been watching an REO for over a year now that is on the market for $550,000 but needs about $60,000 to finish (per the listing agent). I know Fannie Mae has a Home Path program for unfinished Fannie Mae REOs, is there anything like that out there for this price range? Also, would this qualify for an 80/15/5 mortgage, or do those exist in this price range?
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