Thursday, August 8, 2013

How Qualification Perfect Home Renovation

How do you know if the old house you have your eye on is not going to be a big disappointment ? Simple . Your Realtor will be qualified candidates in an older neighborhood so we will find the right home for you .

First , he would ensure that the money you will invest in your project is supported by the environment . Is keeping with the nature of their neighbors and with their landscaping ? Are they adding new windows , addition or garage ? Is the environment in a convenient location to shopping , major roads , hospitals , restaurants , theaters , and other services such as doctors , dentists , salons , etc. ? And lastly , is a quiet neighborhood , while still being 10 minutes away from everything ?

Second , after he had identified your ideal property , he will prepare the purchase contract that states the terms of the loan will be FHA 203K Renovation Loan ( both Streamline or Consultant ) . The clock starts ticking after the seller agrees to the terms and then you need to get with the contractor and / or consultant to complete the HUD estimate and scope of work . A knowledgeable inspections will minimize your risk . Where he will need the help is through the negotiation process so that you set the cost for the renovation loan if you need to repair the roof , termite damage repair or updating the HVAC system .

Third , he worked with leading and well-established contractor providing certain documentation that they specialize in plumbing, electrical , HVAC , carpentry work , etc. For $ 25,000 FHA 203K Streamline loan , it will help facilitate a complete contract package so everyone will be true and evenly replaced . For example , he would pay $ 5,000 a roofer with two party check ( from $ 10,000 ) for start , ordering materials and the same thing will happen to GC / handyman carpenter / painter , who will receive $ 7,500 ( from $ 15,000 ) . Within two to three weeks of the closing , each contractor will receive their balances . Once all work is completed , the assessment will then be returned to the property , and verify that the work was officially done in accordance with the offer .

I suggest having a contingency of 10-20 % of the cost of the contract , so that your loan will be $ 30,000 renovation , instead of maxing out at $ 35,000 as your upper limit for FHA 203K Streamline loan . This contingency of $ 3 to 6.000 will help improve safety termite problems , dangerous , fungi , or . And if you come in under the price of your repair , you can reduce the time of the loan .

Of course there is a lot of fear of the unknown when you want an older home , but with a good realtor as your guide , you can focus on your pace and not at scary things behind your walls .

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