203k overview
because 412 is a total fixer upper, i decided to apply for a 203k fha construction mortgage. these mortgages have 2 parts: (1) amount to purchase the property and (2) amount to rehab the property. it is a tedious process but if you don't have the cash lying around (as I don't), it is worth it. i used a similar loan, phila loan (http://www.philaloan.com) (which i also recommend), to rehab my kitchen in my current house.
here is a website that explains the advantages & disadvantages of the 203k loan:
my 203k team:
realtor: michael garden from city space (http://michaelgarden.com)
mortgage lender: joel slutsky from homestead funding (http://www.homesteadfunding.com)
203k specialist: paul janaitis (http://203kphilly.com)
designer: michael palmer
contractor: palmer contractors
i started this process around may 29th by first applying to wells fargo for the 203k loan. i wasn't impressed with them so i asked my brother, bill heenan, real estate agent, (http://www.billheenan.com) if he knew of any mortgage companies that specialized in 203k mortgages and he put me in touch with homestead funding. joel contacted me and he got the process moving. going forward, although i'm 1/2 way through the process, i will try my best to recap each day as a separate post.
Thank you for posting this blog! Your house looks gorgeous. My wife and I are considering going the 203k route on a south philly house. Thank you for listing your contacts and for providing the internet with a positive 203k experience.
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