I am interested in a home that is in a great neighborhood but needs some major updating and renovations such as new roof, new heating and air and new windows, in addition, some of the copper plumbing has been stolen in the basement, wow, sounds like a lot, but the house could be a great investment with about 25-30 thousand put into it. The problem Im facing is that it is bank owned. I have been approved for mortgage that of 100 thou, the asking price of the house is 89,900. First questions is according to what I previously mentioned that needs renovated what would you offer, and secondly and most importantly, what is the best way to get a rehab loan in order to do the work. Thank you so much
2007-08-30 06:56:02 · 4 answers · asked by TT 1 in Business & Finance ➔ Renting & Real Estate
Also, the loan officer i am working with suggested two things, ohio grant loan with very low interest only 500 closing cost, yet home has to be in "fair shapr" she sounds everything could pass except the plumbing, secondly she suggested a rehab loan, but i would have to put a lot more money down.
2007-08-30 06:58:21 · update #1
Thanks, house is brink, other homes sell for roughly 130-150 no work needed, on the market for 120 days was previously pending and fell through, i do not know appraisal.
2007-08-30 07:11:00 · update #2
If there is a First Horizon home Loans office in your area callthem. They ffer a high LTV rehab loan.
2007-08-30 07:02:01 · answer #1 · answered by Anonymous · 0⤊ 0⤋
If your loan officer is suggesting a grant, go for it. Since the house will need 30k of work, and you qualify for 100k.... don't offer over 70K.
If the grant can't work out, (and I'm assuming you will occupy the home as a primary residence, since grant money is being advised) check out the FHA 203(k) loan. You will need a loan officer who has done them before - or else is a really great learner.
2007-08-31 00:14:16 · answer #2 · answered by teran_realtor 7 · 0⤊ 0⤋
what is the median market value of homes in the area for similar sizes?
do a lot of research as major fixer can make you poor like thousands of people today ..
Example of what i'll offer
say home is worth 120k
bank say sell at 90k
you need to sink in 39k
I will offer 65k to the bank with letter stating it needs tons of work and being a buyers market..etc...
2007-08-30 14:22:06 · answer #3 · answered by Anonymous · 1⤊ 0⤋
to many don't knows for me to advise. how many sq. ft., brick or wood??? what is the value of the same house in the same area. what did it appraise for??? how long has it been on the market. is a agent handling it. see what i mean
2007-08-30 14:06:49 · answer #4 · answered by k man 3 · 0⤊ 0⤋