An FHA 203(k) Standard loan requires a minimum of $5,000 in repairs with no maximum cost (the loan amount is subject to FHA loan limits). It requires a HUD consultant to inspect the property, consult on the repairs and costs, manage the project, and provide a work write-up. Renovations can include minor repairs and major structural and reconstruction projects, including:
- Upgrading garages, bathrooms, and kitchens (including new appliances)
- Removal of health and safety hazards
- Landscaping and other aesthetic improvements
- Installation of wells or septic systems
- Handicapped accessibility alterations
This loan is for 1-4 unit owner-occupied properties only, and down payments are as low as 3.5%.