San Antonio rehab loans can help prospective home buyers and property investors alike renovate residential houses. The good news is that there are a number of programs available, with three being backed by the federal government. Moreover, there are still more options, through regional Banks and credit unions, which offer their own types of Home improvement loans. So, read on to learn more about San Antonio rehab loans and what you should know.
San Antonio rehab loans include three common options, which are the FHA 203k loan, Fannie Mae’s HomeStyle loan, and the CHOICE Renovation loan by Freddie Mac. Of course, each has its own set of purposes and are requirements. For instance, the FHA 203k loan requires a minimum credit score, as well as a down payment of usually 10%. This loan can be used for just about any type of renovation, but can only be used for primary residences, and excludes any luxury items. A luxury item would be a swimming pool.
Fannie Mae’s HomeStyle loan is designated for the remodeling of a primary residence, second or vacation home, or even an investment property. Like just about any other type of loan, there are creditworthiness requirements, along with a minimal down payment, and other rules. Lastly, Freddie Mac’s choice renovation loan is for remodeling, or more particularly updating outdated properties. This is ideal for first-time homeowners who find a house that is out of style and needs some TLC to bring it up to date.