Tap a Federally Insured 203k Loan Program to Fix Your Hurricane-Damaged Home


Tap a Federally Insured 203k Loan Program to Fix Your Hurricane-Damaged Home

Hurricanes have been a part of coastal life for eons. Whether you are talking about Sandy, Irene, Katrina, Grace, or even Diane, surviving a hurricane is no mean feat and can even be a life-changing experience. Once the storm passes, people will go out to survey the damage and pick up the pieces.

It is likely that your home in Long Island would have sustained some degree of damage during the chaos that ensued. In the madness of post-disaster recovery, there’s added pressure to put lives back on track – yet some lenders may be too hard on potential applicants. A safe option will be to apply for a streamlined 203k loan with the help of contractor outfits such as Rebuild with Prestige.

203k: A Primer

The 203k is a special loan program designed by the Federal Housing Administration (FHA). This aims to bring together initial financing, repair costs, and long-term mortgage under one option. It can be sourced through a private lender authorized by the FHA. Certain lenders often partner with home contractors to facilitate loan applications.

To qualify for a 203k, the property in question should have been standing as a dwelling place for at least a year and big enough for up to four families. It should also be built according to local zoning requirements. Meanwhile, borrowers need to show proof that they have never defaulted on any loan issued by private lenders or another government agency. Even the credit report should register minimal liabilities.

Giving the Kitchen a New Face

Since you’re in the zone for fixing up your house, why not use the 203k for some in-depth job? Start by hiring Long Island kitchen remodeling specialists. Whatever money that will be lent to you can go a long way towards giving your kitchen a new lease on life. On the average, a kitchen remodeling job can cost around $25,000, depending on the intricacy of the work. This estimate factors in the cost of assessment, materials and labor.

To get your life back on track after surviving the horrors of a hurricane, you may need to take out a loan to finance recovery efforts. Total recovery may take time, but it is not impossible. Trust reputable contractors like Rebuild with Prestige for quality construction and financing services.

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