Rehabilitation Mortgage Insurance

The Section 203(k) program is HUD's primary program for the rehabilitation and repair of single family properties.

It is an important tool for community and neighborhood revitalization and for expanding homeownership opportunities.

HUD's 203(k) program will allow a purchase or refinance
transaction plus include in the loan amount the cost of making repairs and/or non luxury improvements.

Agency - Department of Housing and Urban Development

The Department of Housing and Urban Development's mission is to increase homeownership, support community development and increase access to affordable housing free from discrimination. HUD fulfills this mission through high ethical standards, management and accountability, and by forming partnerships with community organizations.

Office - None.

For additional information, individuals are encouraged to contact the FHA Resource Center by phone at 1-800-CALLFHA (1-800-225-5342), by email at answers@hud.gov or visit the FHA Resource Center site at http://portal.hud.gov/hudportal/HUD?src=/FHAFAQ.



Program Accomplishments

Not Applicable.

Uses and Use Restrictions

These loans may be used to rehabilitate an existing 1 to 4 unit dwelling in one of four ways: (1) Purchase a structure and the land on which the stick built structure is located and rehabilitate it; (2) purchase a structure on another site, move it onto a new foundation on the mortgaged property and rehabilitate it; or (3) refinance the existing lien secured against the subject property and rehabilitate such a structure.

Maximum insurable mortgage loans for an occupant mortgagor are the same as prescribed for Section 203(b) - Program 14.117.

HUD offers two 203K rehabilitation loan programs.

The limited 203 (k) program does not require a minimum amount of repair costs but the program is capped at a total of $35,000 for the cost of improvements/repairs.

The other program is the Standard 203(k).

A minimum of $5,000 of repair/improvement costs are required but, there are no limitations on the amount of the repair/improvements.

However, statutory loan limits apply.

HUD insures lenders against loss on the 203(k) loan prior to the rehabilitation/improvements are completed.

Eligibility Requirements

Applicant Eligibility

Individual and families.

Beneficiary Eligibility

Individuals and families.

Credentials/Documentation

Documentation regarding the characteristics of the property and the qualifications of the borrower are assembled by the lender and submitted with the application. This program is excluded from coverage under OMB Circular No. A-87. This program is excluded from coverage under 2 CFR 200, Subpart E - Cost Principles.

Aplication and Award Process

Preapplication Coordination

Preapplication coordination is not applicable.

Environmental impact information is not required for this program.

This program is excluded from coverage under E.O.

12372.

Application Procedures

This program is excluded from coverage under 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Application is submitted through a HUD-approved lending institution.

Award Procedures

See Application Procedure.

Deadlines

Not Applicable.

Authorization

National Housing Act, as amended, Section 203(k).

Range of Approval/Disapproval Time

Varies.

Appeals

The lender or HUD will state the reason for refusing an application. The applicant may reapply subject to concurrence of the lender.

Renewals

Not Applicable.

Assistance Considerations

Formula and Matching Requirements

Statutory formulas are not applicable to this program. Matching requirements are not applicable to this program. MOE requirements are not applicable to this program.

Length and Time Phasing of Assistance

The mortgage term may extend for 30 years. Method of awarding/releasing assistance: quarterly.

Post Assistance Requirements

Reports

Not Applicable.

Audits

Not Applicable.

Records

Mortgagees are required to service and maintain records in accordance with acceptable mortgage practices of prudent lending institutions and the FHA regulations.

Financial Information

Account Identification

86-4587-0-3-371 - FY 2010 and future.

Obigations

(Sale, Exchange, or Donation of Property and Goods) FY 15 Not Separately Identifiable(Exp: Reported under 14.117); FY 16 Not Separately Identifiable(Exp: Reported under 14.117); and FY 17 Not Separately Identifiable(Exp: Reported under 14.117) - Reported Under 14.117.

Range and Average of Financial Assistance

No Data Available.

Regulations, Guidelines, and Literature

Not Applicable.

Information Contacts

Regional or Local Office

None. For additional information, individuals are encouraged to contact the FHA Resource Center by phone at 1-800-CALLFHA (1-800-225-5342), by email at answers@hud.gov or visit the FHA Resource Center site at http://portal.hud.gov/hudportal/HUD?src=/FHAFAQ.

Headquarters Office

Wanda L. Sampedro 451 7th Street, SW, Washington, District of Columbia 20410 Email: answers@hud.gov Phone: (800) 225-5342

Criteria for Selecting Proposals

Not Applicable.



Social Entrepreneurship
Spotlight



Declara’s Social Enterprise Network Garners $16M Funding, Helps Teams Communicate Efficiently

Declara’s Social Enterprise Network Garners $16M Funding, Helps Teams Communicate Efficiently
Declara’s founder Ramona Pierson has recently raised a new $16 million for her company to further its global...



Nonprofit Jobs in Maine

  Social Work Jobs
  Social Work Jobs
  Education Jobs
  Social Services Jobs
  Social Services Jobs





More Federal Domestic Assistance Programs


Indian Country Alcohol and Drug Prevention | State Administrative Expenses for Child Nutrition | Environmental Workforce Development and Job Training Cooperative Agreements | Rehabilitation Services Independent Living Services for Older Individuals Who are Blind | Norman E. Borlaug International Agricultural Science and Technology Fellowship |  Site Style by YAML | Grants.gov | Grants | Grants News | Sitemap | Privacy Policy


Edited by: Michael Saunders

© 2004-2018 Copyright Michael Saunders