SEATTLE NEWS ARCHIVES & FEATURES
Buying a home with a 203k loan and the remodel process
Feb 17, 2012, 1:47 PM | Updated: 2:52 pm
Buying a home can seem like a daunting task, but with the assistance of a good mortgage broker and real estate broker, it can be a smooth and seamless process.
The first step is to contact your mortgage broker to obtain your preapproval. Pete and I like Brady Yeager at Cobalt Mortgage 425.605.3100. This is an important
first step, as it determines the amount of money you are eligible to borrow to purchase a home. Once you have your preapproval in hand, step two is to call your real estate broker. For this Pete and I like Sandy Noll at PS Real Estate Group 425.890.0878. A reputable real estate broker will sit down with you to determine your needs and wants in buying a home. They can set you up on an automated email list that would send you listings as they come on the market or alert you if there is a price change to an existing listing.
With more than 50% of the homes currently listed being distressed properties (short sales or bank owned), buyers tend to shy away from these properties because they usually have minor or major repairs needed or appliances are missing and need replacing. Many home buyers have
just enough cash to cover their down payment and closing costs and cannot purchase a distressed property.
Fortunately there is a loan program for those homes, called the 203K Rehab Loan that allocates funds to the buyer to make those repairs. All it takes is a call to a good mortgage broker to get the process going. Your mortgage broker and real estate broker should be working together to get the necessary paperwork done. They can also assist the buyer in contacting a reputable contractor, like Handyman Matters Seattle 425.334.5924, to get bids for the needed repairs. If you get a good team together, it can make for a painless transition and successful closing on your home purchase and remodel.