Milwaukee Real Estate Debby Thompson Homestead Realty, Inc

FHA 203K program


How to use FHA 203 K program to purchase a home that needs over $5,000 in repairs.

The Section 203(k) program is the Department's primary program for the rehabilitation and repair of single family properties.

203(k) - How It Is Different
Most mortgage financing plans provide only permanent financing. That is, the lender will not usually close the loan and release the mortgage proceeds unless the condition and value of the property provide adequate loan security. When rehabilitation is involved, this means that a lender typically requires the improvements to be finished before a long-term mortgage is made.

 

Eligible Property

To be eligible, the property must be a one- to four-family dwelling that has been completed for at least one year. The number of units on the site must be acceptable according to the provisions of local zoning requirements.

Homes that have been demolished, or will be razed as part of the rehabilitation work, are eligible provided some of the existing foundation system remains in place.

Not all lender can help you with this program. Give me a call today and we will work together to help you. or email me at debbytrealtor-milwaukee@yahoo.com


Foreclosures


Nation Wide foreclosures


Milwaukee real estate


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Milwaukee area listings



Seller need to know about foreclosures


Key thing to know when you are late on your mortgage payment

Are you facing a foreclosure? There is options that we can work on. However time is not on your side so the sooner we can talk and find out what might work the better change we can avoid a foreclosure. 

  • Get in contact with your lender right away
  • keep the communication going between you and the lender.
  • Explain what is going on and try to resolve your situation.

Key factors the lenders are going to want to know

  • Why you are late? They will need a letter stating why you are late. Not just I lost my job. Give them information on what is happening.
  • Can you repay this loan? If this was a temporary thing and the situation has changed in your favor explain that to them.
  • They are going to want documentation about your current income. They are going to want check stubs and 2 years of tax returns. This way they can determine if you can afford this home.
  • They are going to want your current expenses. All expenses.

You both may determine it is best to sell your home

Do not stop talking with your mortgage company. This will not stop the foreclosure but it will keep both of you informed to make the best decision. Bad things sometimes happen to good people.

Make sure you understand your options. You might be able to sell your home on a short sale. Less then you owe on the loan because your home has gone down in value. Or you have additional cost that has been added in late fees.

If you need help please email me at DebbyTRealtor-Milwaukee@yahoo.com

 

 

 


How can I buy a foreclosures


How do I buy a bank owned home?
Once a property is repossessed by a bank or lender, it will be listed for sale through a real estate agent. 

What about inspections?
Bank-owned foreclosure homes are usually sold "as is."  Many owners of homes that go into foreclosure have been struggling financially, which usually means that the house has not received needed repairs or general maintenance for a while. Some homeowners who lose their property to a lender frequently damage the property. So be prepared to do renovations and repairs. Hire a licensed home inspector to give you a written estimate of the cost to repair the property. Budget that number into your purchase price. Repair costs can be used later in your negotiation with the bank to reduce the asking price.

Will I get a clean title?

Banks should clear the title before selling but never assume this is the case just as you would if you were buying a property from anyone else.

How much can I negotiate?

Your Realtor will help you pull comps and offer a fair price.
Although most banks want to unload their foreclosed properties, they won't necessarily do so cheaply. So you aren't guaranteed a fabulous price. When submitting a low offer, you need to substantiate the reduced price in writing and document your case.
Can I finance a bank owned home?
A bank owned home can usually be financed the same as a non-disressed home. It ultimately depends on your credit score.