5 Ways a Homeowner Can Use the 203k

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The 203k home improvement financing option from FHA is not just for home buyers. Homeowners can use the 203k to refinance and remodel all over their houses. In fact it's such a versatile option, it's really the new home equity line of credit - but better. Because the loan amortizes the work over the term of the mortgage, you'll be able to afford a larger remodeling budget than if it was a 5 year loan.

Also, the 203k is a mortgage, so you're paying mortgage interest rates - not unsecured or revolving (credit card) credit debt. It's a much better deal in that sense. So what can homeowners do with the 203k? Here's a look at 5 ideas.

1. Remodel your kitchen. You could finance new cabinets and counters, new appliances, new plumbing and new floors (or any combination) with the 203k.
2. Add a bathroom. Structural work is covered by the Full 203k option - which includes adding a bathroom. If you've outgrown your current house and need another lavatory, you can pay for the addition this way.
3. Replace flooring (or upgrade flooring) all over your home. From carpet or tile all the way down to the flooring underneath, the 203k can help you pay for all the stuff you walk on everyday.
4. Design & build a deck. A deck can turn a nice house into a dream home. Building a deck can be a do-it-yourself project if you have the cash, skills and time for it. But if not, refinance and remodel with the 203k to pay for professionals to do the work!
5. Get a new heating and cooling system. You can pay for a new air conditioner, furnace and all the work that goes into this with the FHA 203k.

Learn more about this home improvement loan option with "The FHA 203k Survival Guide" at the button below. The free eBook covers all aspects of the 203k Streamline and the Full 203k so you can decide what's best for your current home and your remodeling wishes.

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