By Robin MacDonald CDT | Sep 18, 2015

Wareham — Consumers often find ample value in distressed homes – properties that are under a foreclosure order or up for short sale. In many cases, “distressed” speaks more to the condition of the home than their recent financial histories. They may have been empty for extended periods and subject to vandalism and theft.

If you are considering a home in need of renovation, you should consider a 203k mortgage. It would allow you to finance both the acquisition and rehabilitation with a single loan. There are two types of 203k loans:

203k Streamline: This is the most popular. The maximum allowable in repairs is $35,000 and does not allow any structural repairs to be done to the home (unless they’re a result of an unforeseen circumstance).

Full 203k: Allows for structural repairs and can exceed the $35,000 in home repairs. Both types allow up to $1,500 in swimming pool repairs.

Some important 203k facts:

  • Since it is based on the home’s potential value after repairs (not its existing value), you can be approved for a higher loan amount.
  • They carry long-term-fixed rates.
  • They’re insured as soon as they fund.
  • They include escrow accounts for the scheduled repairs.
  • Loan amounts are capped according to local FHA limits.
  • Only owner-occupied properties of one to four units qualify.
  • The home must be at least one year old.


Comments (1)
Posted by: Andrea Smith | Sep 18, 2015 12:19

Regarding homes in the entire town of Wareham (i.e. Wareham, West Wareham, East Wareham, Onset, ect.):


How many went through foreclosure in 2014?


What percentage of Wareham's total 2014 real estate sales did this represent?


How does this compare to the state average?


How many have gone through foreclosure so far in  2015?


How many were sold as short sales in 2014?


What percentage of total Wareham 2014 real estate sales does this represent?


How does this compare to state average?


How many have been sold as short sales in 2015?


What impact do the foreclosures and short sales in Wareham have upon the real estate market value of homes in Wareham?



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