Rehab Mortgage Loan

Rehab mortgage loans might be the answer for home buyers who are looking for a home, but are not finding the perfect home to fit their needs. It may also be the solution for a family that is looking into a specific district, but unable to find a home that is up to date and meeting their family's standards. With this type of financing, homes can be bought and rehabilitated at the same time. There is one monthly house payment for one low, monthly interest fee. Homebuyers can check the various programs online with the Internet and discover how qualifying for a rehab mortgage loan works.

The most popular mortgage loans are the ones offered by the Federal Housing Authority (FHA). These loans can be obtained at very competitive interest rates and the rehab mortgage loans can allow homebuyers to finance home repairs within the low interest costs of the financing. That's getting a great interest rate on a mortgage and a great interest rate on home improvement. With an FHA rehab mortgage loan, the FHA is backing, or guaranteeing the loan for standard lending agencies.

To meet the requirements of an FHA rehab mortgage loan, the property must meet specific criteria. The property being purchased must be a single-family residence and must be owner occupied. FHA funding cannot be used for rental properties. The FHA requires that the home be at least one year old, otherwise it would most likely not be in need of repair, except in the extreme case of neglect or natural disaster. There are also minimum and maximum repair margins included. The value of a property will need to be determined by an appraisal, and all properties should meet the market value after renovations are complete.

The range of repairs that are covered is extensive. A home can have a complete new look with modern conveniences and aesthetic appeal with the funding from rehab mortgage loans. The home purchase could be a completely new structure once the rehab process is finished. Our lives can also be completely new when we seek God and allow Him to be Lord of our lives. Accepting Christ as the atonement for sin can rehabilitate our heart, soul, and mind. "A new heart also will I give you, and a new spirit will I put within you: and I will take away the stony heart out of your flesh, and I will give you a heart of flesh." (Ezekiel 36:26)

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