23k consultant | As 203k consultants, we are often asked by the applicants as to which type of 203k loan they should opt for. To help them make a better decision, we should analyze their individual requirements and tailor an application accordingly. It\u2019s not about which option is better \u2014 it\u2019s about which option suits our clientele.<\/p>\n
The Extent of Repairs<\/b><\/p>\n
First factor that helps a 203k consultant make a recommendation revolves around the extent of repairs.<\/p>\n
A limited 203k loan allows you to make repairs that cannot exceed a total sum of $35,000. This includes repair or replacement of existing systems to improve their functionality, minor remodeling of kitchen and bathrooms, paint jobs, septic system replacement etc.<\/p>\n
Regular or standard 203k loan is ideal for projects that involve heavy repairs, exceeding the sum of $35000. Structural repairs, landscaping and repair work that requires more than 6 months of time for completion.<\/p>\n
Habitable or Non-Habitable<\/b><\/p>\n
Second difference that influences the decision is the current state of the property. A limited 203k loan requires that the property must remain habitable during the period of renovation. With standard 203k loans there is no such limitation. A 203k consultant would visit your home and evaluate its habitability status to help you decide between the two.<\/p>\n
Confused Between the Two?<\/b><\/p>\n