CAN FHA HELP ME SELL MY HOME EVEN THOUGH IT NEEDS UPDATING?

One of the most exciting opportunities for homebuyers today is Foreclosures and Short Sales. In my market you can typically pick-up a home for a deep discount if you look at these properties. The big problem is that these properties normally need work and most people do not have the money to repair them out of pocket.

Back in 2005 FHA saw this problem and developed the 203k( Streamline) limited repair program. This loan permits homebuyers and those refinancing to borrow up to an additional $35,000 into their mortgage to improve or upgrade their home.

The following is a list of rules that apply:

1. Purchase or Refinance of 1 to 4 units properties.
2. Must be owner occupied.
3. Property must be at least 1 year old.
4. Total loan amount cannot exceed FHA limits.
5. Landscaping not allowed.
6. Cannot be used to repair structual damage.
7. 2 Appraisals are required.

The following is a list of common 203k improvements:

1. Kitchen & Bathrooms.
2. Decks & Patios.
3. Flooring.
4. Basement finishing.
5. Roofs.
6. Painting.
7. Home Theaters.
8. Handicap Accessibility.
9. HVAC systems.
10. Appliances.

By using this program it creates alot of wins. The buyer gets a great deal on a home that is tailored to suit their needs. It employees the contractor industry. If it is a Short Sale it keeps the sellers from going into Foreclosure. If it is a Foreclosure it helps minimize the banks losses. Most importantly it helps increase the Neiborhoods property value. Remember If you are looking for a deal on a property that you can make your own this is your program.

WAYS TO SPEND YOUR TAX REFUND

For most of us Tax day has come and gone. According to our President, most Americans recieved a refund. I am glad for the ones who did because I had to pay. Now the question becomes what to do with your windfall. Here are some of my thoughts.

1) Since we are Americans, the most generous country in the world, give to a charitable cause. We have recently been working with a innercity church who ministers to the homeless.
2)Pay down your credit cards. Most people think they should pay down the highest rate first. I subscribe to paying off the smallest balance then cutting that card up.
3)Increase your emergency fund. Most experts agree that everyone should have at least 3 months of total expenses into a seperate money market account. Once you have 3 months put away forget about it. Rainy days come to everyones life.
4)Increase your childrens college fund. Tuition has increased substantially and will probably continue the upward trend.
5)Buy something MADE IN AMERICA and give it to someone else. I believe that the more good deeds you do the better your life will be.

This is only a few things, but after all how large can your refund be?