Finance both the purchase price and renovation costs in a single loan. The FHA 203k program makes it easy to buy and improve your home.
Finance purchase price and renovations together with one monthly payment
Renovations add value to your home immediately, building wealth faster
As low as 3.5% down on the total project cost, making it affordable
See how much you can borrow and what your monthly payments might be
Monthly Payment
$0
Total Loan Amount
$0
After Renovation Value
$0
Instant Equity Gained
$0
Down payment: 0% of total project
Two options designed for different renovation needs
For major structural work and large-scale renovations over $35,000. Perfect for properties that need significant improvements or additions.
Renovation Range:
$35,000+
Note: Requires FHA-approved consultant to oversee work and draw inspections.
A simpler, faster process for cosmetic updates and non-structural improvements under $35,000. Perfect for move-in ready updates.
Renovation Range:
Up to $35,000
Note: No consultant required. Faster approval and simpler process.
From pre-approval to move-in, here's your step-by-step guide
Apply for your 203k loan and get pre-approved. We'll determine your budget including renovation costs.
Search for homes that need work. Your pre-approval shows sellers you're serious and ready to close.
Work with contractors to create detailed work plans and cost estimates for FHA approval.
Close on your loan. Renovation funds are held in escrow and released as work is completed.
Escrow Account: Renovation funds are placed in an escrow account and released to contractors as work milestones are completed and inspected.
Timeline: Most renovations must be completed within 6 months of closing, though extensions may be available.
Inspections: For Standard 203k, a consultant inspects work progress. For Limited 203k, the lender may conduct inspections.
Move-In: Once renovations are complete and approved, you can move into your beautifully updated home!
See how homebuyers used 203k loans to create their dream homes
Purchase Price
$180,000
Renovation
$40,000
After Renovation Value
$250,000
+$30,000 instant equity
Completely renovated outdated kitchen and two bathrooms, adding modern finishes that increased the home's value significantly.
Purchase Price
$200,000
Renovation
$75,000
After Renovation Value
$310,000
+$35,000 instant equity
Added a 400 sq ft master bedroom suite with walk-in closet and luxury bathroom, transforming a 3-bed into a 4-bed home.
Purchase Price
$150,000
Renovation
$25,000
After Renovation Value
$195,000
+$20,000 instant equity
New flooring throughout, fresh paint, updated lighting fixtures, and modern appliances made this home move-in ready.
What you need to qualify for a 203k renovation loan
Minimum 580 for 3.5% down payment. 500-579 may qualify with 10% down.
As low as 3.5% of the total project cost (purchase price + renovation budget).
1-4 unit properties. Must be your primary residence and be livable within 60 days of closing.
Detailed contractor bids, work plans, and specifications required for all renovation work.
Your total monthly debt payments (including the new mortgage) should typically not exceed 43% of your gross monthly income. However, some flexibility exists based on compensating factors.
Pro Tip: Work with us early to understand your budget and get pre-approved before house hunting. This gives you a clear renovation budget and makes your offer more attractive to sellers.
From application to closing typically takes 45-60 days, similar to a standard FHA loan but with additional time for renovation planning. The Limited 203k is faster than the Standard 203k since it doesn't require a consultant.
It depends on the scope of work. For Limited 203k projects, you can usually move in right away. For Standard 203k with major structural work, you may need to wait until certain repairs are completed and the home is deemed livable.
You'll need to pay any cost overruns out of pocket. That's why it's crucial to get detailed, accurate contractor bids upfront and include a contingency reserve (typically 10-20% of renovation costs) in your budget.
For Standard 203k loans, you typically need licensed contractors for major work. For Limited 203k, you may be able to do some minor work yourself, but most significant work still requires licensed professionals.
Yes! 203k loans are perfect for foreclosures and distressed properties that need work. This is one of the few loan programs that allows you to finance repairs on properties that wouldn't qualify for traditional financing.
DIY work is limited. You can do some non-structural work like painting or landscaping, but you cannot pay yourself. All major work must be done by licensed contractors. This protects both you and the lender by ensuring quality work.
Get pre-approved for a 203k loan today and start your renovation journey. Our experts will guide you through every step of the process.