- What are the maximum loan amounts allowed on a FHA 203k or Fannie Mae renovation loan? The max loan amounts are the same as the corresponding loan after down payment.
- FHA 203K – The maximum loan amount for FHA loans in counties which make up Northeast Florida is $387,500 after down payment.
- Fannie Mae Renovation loan – The maximum loan amount for a SFR is $417,000 after down payment. However, Fannie Mae loan limits are higher for multi-family properties. 2 units-$533,850; 3-units-$645,300; 4-units-$801,950
- On a FHA 203k or Fannie Mae renovation loan what is the MAX amount you can spend on the repairs/improvements?
FHA 203k – There is No MAX Repair Amount except the max loan limit for the area – $387,500 and/or the appraised value.NOTE – On FHA 203k loans you get up to 110% of the After-Improved Value – 10% buffer.
Fannie Mae Renovation loan – The max amount allowed on repairs/improvements is 50% of the After-Improved value (appraisal) up to the conventional loan limits of $417,000 (SFR).
- Example- $125,000 sales price + $150,000 Improvements = $275,000. Since the repairs are $150K the home must appraise for $300,000
- When do your payments start on a FHA 203K or Fannie Mae renovation loan?
Since in the end they are standard loans the first payment would be the same as every home loan. You close in December your first payment is February 1st. However, on projects where the house is not habitable or there is a larger scope of work, the buyer can finance up to 6 mortgage payments into the loan (or when the house is habitable).
- “Special Financing” Signs for Listings – THEY WORK! If you have a less-than-perfect listing, outdated home for sale or Short Sale/REO listings, ask about our “Special Financing” signs. Combine the sign with the “Special Financing” flyers and traffic is guaranteed to increase.
Example – I had an agent put a sign on a property Thursday afternoon. I had 3 calls by noon on Friday about the property which I re-routed to the agent.