Asharoken Basements

Homes up for sale/foreclosures become neglected over time and develop situations that subsquently require a restoration company to perform repair work. Initiating necessary foreclosure repairs for a property can be accomplished by applying for a mortgage related to the 203(k) Program. 203(k) MortgageThe Federal Housing Administration (FHA), which is part of the Department of Housing and Urban Development (HUD), administers various single family mortgage insurance programs like a 203(k) mortgage. These programs operate through FHA-approved lending institutions which submit applications to have the property appraised and have the buyer’s credit approved. These lenders fund the mortgage loans which the Department insures. HUD does not make direct loans to help people buy homes. One Mortgage LoanWhen a homebuyer wants to purchase a house in need of repair or modernization, the homebuyer usually has to obtain financing first to purchase the dwelling; additional financing to do the rehabilitation construction; and a permanent mortgage when the work is completed to pay off the interim loans with a permanent mortgage. Often the interim financing (the acquisition and construction loans) involves relatively high interest rates and short amortization periods. The Section 203(k) program was designed to address this situation. The borrower can get just one mortgage loan, at a long-term fixed (or adjustable) rate, to finance both the acquisition and the rehabilitation of the property. To provide funds for the rehabilitation, the mortgage amount is based on the projected value of the property with the work completed, taking into account the cost of the work. To minimize the risk to the mortgage lender, the mortgage loan (the maximum allowable amount) is eligible for endorsement by HUD as soon as the mortgage proceeds are disbursed and a rehabilitation escrow account is established. At this point the lender has a fully-insured mortgage loan. Streamlined 203(k) Loans The Streamlined (k) program is intended to facilitate uncomplicated rehabilitation and/or improvements to a home for which plans, consultants, engineers and/or architects are not required. The Streamlined (k) program includes the discretionary improvements and/or repairs shown below: *Repair/Replacement of roofs, gutters and downspouts *Repair/Replacement/upgrade of existing HVAC systems *Repair/Replacement/upgrade of plumbing and electrical systems *Repair/Replacement of flooring *Minor remodeling, such as kitchens, which does not involve structural repairs *Painting, both exterior and interior * Weatherization, including storm windows and doors, insulation, weather stripping, etc. *Purchase and installation of appliances, including free-standing ranges, refrigerators, washers/dryers, dishwashers and microwave ovens *Accessibility improvements for persons with disabilities * Lead-based paint stabilization or abatement of lead-based paint hazards *Repair/replace/add exterior decks, patios, porches *Basement finishing and remodeling, which does not involve structural repairs *Basement waterproofing *Window and door replacements and exterior wall re-siding *Septic system and/or well repair or replacement Advanced Restoration Corporation is a full service property damage restoration company that has the abiltiy to execute all necessary repairs to a property that qualifies for a 203(k) loan. For more information on FHA 203(k) loans and how Advanced Restoration can partner with you, please contact Gary Matzelle at (516) 903-4107. Advanced Restoration is located in New York and services Long Island and the NY metro area.