cost of 203(k) loan

You will have some additional fees/cost associated with the FHA 203k(s) loan: 10% contigency (which if not used, can be applied toward your principle), inspections/title update - probably $250.00 and a supplemental origination fee of $350.00 or 1.5% whichever is less. The interest rate shouldn't be much different, but that will depend on what lender/broker you use. We are a lender located in North Mississippi - Hernando and we offer the FHA 203k streamline loan. If you have more questions, please feel free to contact me at (662) 429-5100 Ext. 105 or send me an email at dougc@fairwaymc.com.Thank you!Doug CappsFairway Mortgage224 West Commerce StHernando, MS 38632662-429-5100 ext 105NMLS ID #68160

Depending on the actual repairs required, you may find an approved HUD lender who will allow for an escrow repair fund to be collected at time of closing. Although you would have to fund it at time of closing, you would eliminate the additional costs and time to approve and process your FHA insured home loan.

It really depends on how much the estimate is on repairs. If your lender will allow an "Escrow Holdback" for repairs, then the only additional costs would be to have the property re inspected after the repairs are complete... $100 or so. Several lenders allow for up to $5000 in escrow holdbacks. If the repairs are over $5000, then you will most likely have to go 401K Streamline, assuming repairs do not exceed $35000. Most lenders do charge a bit more in the rate, say 1/4 or so, and there are other hard costs involved as well. WilliamAcres.com