And if so, would banmks or lenders let you borrow additional money to fix it up and make it livable?
2007-06-25 14:28:03 · 7 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
Buying a foreclosure property is the same process as buying any other property.
FHA has some loan programs that will allow you to make the purchase AND borrow for the repairs. (As long as you are living in it.)
2007-06-25 14:35:08 · answer #1 · answered by PersonalFreedom 4 · 1⤊ 0⤋
Yes it is. If you are going to live in the home as your primary residence, FHA/HUD has a program called the FHA 203K program. This is a loan where you can buy the home, and finance repair costs into the home. The process is a little complicated and typically you need a contractor to assist you with the repair cost paperwork. Contact a lender that does FHA loans to get Pre-Approved. There is a lot of extra work on the customer and lender, some lenders may not want to do these types of loans because of this.
2007-06-25 23:08:58 · answer #2 · answered by mateomortgage.com 2 · 0⤊ 0⤋
It's rare for a lender to agree to anything more than 100% of purchase price, and possibly a few more bucks to cover closing costs.
Your best avenue is to buy the property, and then make arrangements with a local bank for a home improvement loan to cover the costs of needed repairs.
2007-06-25 21:33:48 · answer #3 · answered by acermill 7 · 1⤊ 0⤋
This is possible though you may have to close on the loan then get an equity line of credit. I suggest you check with Hometown Banc Corp. They may be your best opportunity for someone to say yes. If your credit does not measure up, they don’t simply “forget to call you back.” They help you get into a credit repair program you can afford regardless of income. Check out the free evaluation form at the source website and a Hometown loan officer will contact you .
2007-06-26 12:21:24 · answer #4 · answered by stephen l 2 · 0⤊ 0⤋
The banks will lend you a money to buy the foreclosed property. After the escrow closed and if your house has equity in it, you can get an equity loan for repair. If there's no equity in the house, then the bank would not lend you lender for repair.
2007-06-25 21:36:45 · answer #5 · answered by Anonymous · 0⤊ 0⤋
u can get a loan for a foreclosure, but they wil only lend the amount the house appraises for. so u may not get enough to help fix it up. and with foreclosures the bank that is selling it will probably not go down on there price
2007-06-25 21:35:56 · answer #6 · answered by nbgirl_19_00 2 · 0⤊ 0⤋
Yes, you can borrow money to buy the home. You will need to get an equity line later to fix it up.
2007-06-25 21:42:16 · answer #7 · answered by mefrancis 2 · 0⤊ 0⤋