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FHA 203k Loan in Gadsden County, Florida

If you want to purchase an older home, you may want to consider the FHA 203k loan in Gadsden County, Florida. This unique loan allows you to finance both renovation and purchase costs simultaneously, saving you thousands of dollars in some cases. You must meet the eligibility requirements and follow a few easy steps to start!

The following guide will take you through the ins and outs of this exciting program and help you determine if it's right for you and your home. We'll discuss the various FHA 203K loans, how to qualify for the program, how to apply, and how the loan can help you create your dream home from your existing old home without moving out.

We'll also explore five delicious desserts in Gadsden County, Florida, and the best spots to grab some. Read on to discover more.

The Basics of FHA 203K Loans

An FHA 203k loan is a long-term loan from a government agency for those looking to purchase and renovate a property. The repayment period for an FHA 203(k) loan range between 15 and 30 years, but you'll pay more on interest because the payments will be spread out over a more extended period.

203k loans offer a solution for property owners with limited home equity who need help financing rehabilitation projects over $5,000. Loans up to $35,000 can be used for energy-efficiency improvements, new kitchens or bathrooms, and new flooring. Generally, with this kind of mortgage, you can buy a house that needs lots of work and fix it up as you please.

Types of FHA 203K Loans

There are many types of FHA 203K loans, each with unique features and requirements, so it's important to know what makes each one different from the others before you begin your search for financing options. Here's an overview of the most common FHA 203K loans.

FHA 203K Standard Loan

FHA 203K Standard loans can provide you with funds over $35,000 (FHA mortgage limits may apply) for eligible home repairs and expenses in advance.

If you're considering purchasing an older home or property and making significant renovations, the 203k standard loan type may be perfect for you. The loan gives you access to the cash you need to make improvements in a straightforward application process.

Generally, the FHA 203k loans are used to fix houses that need structural work, landscaping that is not safety-related, or renovation that costs more than $35,000 and not below $5,000.

You'll be required to hire a contractor and a HUD Consultant to ensure all property standards are met and all work is completed according to the contract.

The following are the home improvements eligible for an FHA 203K Standard loan in Gadsden County, Florida:

  • Make rehabilitation to the pool

  • Complete an attic or basement

  • Repair foundational problems

  • Demolish walls to expand the floor plan

  • Build a retaining wall to control flooding

  • Construct an addition to add square footage

  • Expand the size of the windows to improve interior lighting

  • Construct a detached garage if you don't have one already

  • Increase the size of the kitchen by expanding into the dining space

FHA 203K Limited Loans

An FHA 203k Limited loan is used for cosmetic remodeling and doesn't require a HUD Consultant. You're only required to create a detailed work plan to reflect your familiarity with the contractor's offer. You can't finance your monthly mortgage payment with a limited 203K loan.

The main difference between a limited and standard 203k loan is that the maximum cost for making necessary repairs to the home with a limited 203K must be less than $35,000. If the repairs exceed this amount, you'll need to obtain another type of financing.

The following is a list of home rehabilitation projects eligible for a limited 203K loan in Gadsden County:

  • Painting

  • Repairing the roof

  • Repairing the septic

  • Replacing the siding

  • Refinishing the flooring

  • Replacing tub and showers

  • Adding gutters and downspouts

  • Replacing countertops in the kitchen and bathrooms

  • Upgrading windows to enhance energy efficiency

  • Updating the HVAC, plumbing, and electrical systems

The HomeStyle Renovation Loan

With an FHA HomeStyle renovation loan, the borrower can make any needed repair permanently attached to the property, including structural and non-structural repairs. Landscaping and site amenities are also okay with this type of 203K loan.

The original purpose of this FHA HomeStyle loan was to allow homeowners to make home improvements and minor repairs, such as installing or replacing floors, roofs, windows, and other small-scale work.

However, in recent years the eligibility requirements have been expanded to include major repairs, such as building new and rebuilding various fixtures to modernize them.

Below is a list of all the home renovations eligible for a HomeStyle Renovation Loan in Gadsden County, Florida:

  • Revitalizing a well

  • Constructing a pool

  • Adding new carpet

  • Updating all fixtures

  • Constructing an on-suite bath

  • Creating an open-plan floor

  • Remediating the lead-based paint

  • Constructing an attic and adding dormer windows

  • Transforming the fascia of the home to develop curb appeal

How to Qualify for the FHA 203K Loan Program in Gadsden County, Florida

While it may seem like the program is open to anyone, you must meet specific eligibility requirements to qualify for this type of loan.

So, if you're interested in taking advantage of this great program and need help determining eligibility, keep reading for everything you need to know about qualifying for the FHA 203K loan program.

Credit Score

The minimum credit score requirement for the FHA 203K loan program is 620 to qualify for one of the three types of 203K loans. The higher the score, the better the chances to qualify are.

You must also have at least one year of good employment history and a steady income. It's a good idea to check your credit score periodically to know where you stand and get tips on improving it if necessary.

Debt-to-Income Ratio (DTI)

Understanding the Debt-to-income ratio (DTI) is essential because it affects your eligibility and loan amount. The ratio is calculated by dividing your monthly debt obligations (car payments, student loans, credit cards, etc.) by your monthly gross income. The DTI ratio must be below 43% to qualify for an FHA 203K loan.

A high DTI indicates that a substantial proportion of your income will go to your debts. To alleviate this issue and improve your DTI ratio, you can consider doing the following things:

  • Make extra payments when repaying your high-interest loans and debts to lower your debt quickly.

  • Try to increase your income by finding a source of side income.

  • Avoid taking more loans, debts, or overusing your credit card.

  • Look into extending your loan duration or loan forgiveness for federal loans.

Additional Product Information

Some additional product requirements for the FHA 203K loan program range from FHA property appraisal requirements to loan restrictions. To qualify for this program, you must also meet all the following eligibility criteria:

  • You must have had no past foreclosures or bankruptcy history within the last three years.

  • An accessory dwelling unit (ADU) is allowed only on the house with one unit (1-unit dwelling). They're not allowed on houses with 2-to-4 units.

  • Basic amenities such as space for sleeping, cooking, and a bathroom with running water must be available on the property.

  • The loan cannot be used to purchase or repair rental properties.

  • You must live in the house and consider it your primary residence.

Model house and silver coins in boxes

How to Apply for an FHA 203K Loan in Gadsden County, Florida

Whether you're an experienced builder or a first-time borrower, it's essential to understand how the FHA 203K loan application process works to make an informed decision.

The following step-by-step guide to applying for an FHA 203K loan will help you eliminate the guesswork and understand what steps to take to make it happen.

Find a Loan Officer

The first step is talking to a loan officer. They'll help you decide if you're eligible and how much money you might need. They will also tell you what documentation is required, how much work the lender needs, and which inspection company they would recommend.

Get Pre-approved

Several requirements will help you get pre-approved, such as a steady job, credit score, debt-to-income ratio, and enough income to cover your current debts.

You'll want to set up a meeting with the lender at least two weeks before starting your application so they can run all these numbers before agreeing to give you an offer.

It's also necessary to provide bank statements, pay stubs, and tax returns to prove that you can afford the mortgage payment on your own.

Property Inspections and Appraisals

Once the offer has been accepted, you will need to schedule the property inspection and appraisal. A HUD-approved consultant will complete the property inspection by inspecting all aspects of the house and submitting the final report to the lender.

The inspection will identify all significant issues, such as roof, foundation, plumbing, electrical, HVAC, and any hazardous conditions, and if the property is up to code. The lender will use the appraisal report to determine whether the property is eligible for a 203K loan and calculate the amount you need for the renovations.

Provide Specs and Plans

You'll provide the project specs and plans if you're looking to change the floor plan. A report detailing the costs of each aspect of the project, including materials and labor costs, will be needed to determine whether the project qualifies for a loan.


The appraisal is reviewed, and the file is submitted to Underwriting. If all goes well and you meet HUD's credit approval requirements, a final approval letter will be sent to the closing agent stating that you have qualified for an FHA 203K loan.


The closing process will take place as soon as you've been accepted. You'll have the final opportunity to review your credit and ensure all documents are finalized.

You should also bring down payment cash or other funds needed at closing and any items or contracts that need signatures before purchasing.

Once everything has been reviewed and approved, your loan will close, and the contractor can start the renovation work.

How to Create the Home of Dream with an FHA 203K Loan

An FHA 203K loan is a great way to help you get the home of your dreams without moving out or quitting your job because you can live in your home while making the repairs and taking care of everything that needs to be done.

The program will provide you with the funding needed to renovate a home to improve the living conditions or add improvements that'll increase its value and functionality.

The following are a few things you can do with an FHA 203K loan to breathe a new life into your outdated property and achieve the home of your dreams without a move:

  • Make embellishing touches to create a modern feel.

  • Build a private pool to form a home oasis.

  • Construct an additional bathroom to avoid sharing one.

  • Add square footage to your property to grow with your family.

5 Desserts in Gadsden County, Florida and Where to Find Them

Desserts are an essential part of the meal, and what better place to find desserts than Gadsden County, Florida? With its rich cultural diversity, it's no surprise that Gadsden County has many different desserts to offer people of all ages and tastes.

Whether you want something fancy or casual, sweet or savory, something decadent or light, there's probably a place in your area where you can find it!

Here are the top 5 desserts in Gadsden County and where to find them.

Boston Cream Pie

Boston Cream Pie is a decadent dessert made of two layers of chocolate cake with a layer of custard or cream filling in the middle. It is then coated with thick chocolate frosting, crumbled pieces of chocolate cake, or sprinkles.

The dessert is said to have been invented at the Parker House Hotel (in downtown Boston) by M. Sanzian on December 25th, 1856, and served that Christmas season at that hotel. You can grab your Boston Cream Pie at one of the following spots in Gadsden County:

  • Kavannah's Sweet Boutique LLC
  • What Kind Cupcakery
  • Walmart Supercenter
  • Piggly Wiggly
  • Winn-Dixie

Banana Pudding

This time-honored Southern dessert is arguably the most delicious pudding in the United States. It tastes best when served warm right out of the oven or when combined with vanilla ice cream.

This golden concoction is layered with whipped cream, cinnamon sugar bananas, and vanilla wafers layered with fresh bananas.

You can find Banana Pudding anywhere in Gadsden County's restaurants, but the following are the popular spots:

  • Jimmy & Toons IceCream Shop LLC
  • Gocki's @ Havana Trading Company
  • Perry Lynn's Smokehouse & Bar
  • Inez Kitchen
  • Odells

Ice Creams

If you want a nice cold treat for the summer, you'll find plenty of tasty treats in Gadsden! One of the most popular desserts is ice cream.

The options for ice cream are endless, with flavors like Rocky Road, honey lavender, chocolate peppermint crunch, cookies and cream, and vanilla bean. Whether you're looking for classic flavors or something unique, the following spots have everything.

  • Jimmy & Toons IceCream Shop LLC
  • La Michoacana Tortillaria
  • El Centenario of Quincy
  • Harveys Supermarkets
  • Dollar General

Indiana Sugar Cream Pie

If you prefer having dessert for breakfast, then Indiana Sugar Cream Pie is the treat for you. The soft yet crunchy crust gives way to a creamy custard-like filling with a delicate sugar topping. It's not too sweet or rich, making it perfect for those sensitive to dairy products.

The pies are made by some of Gadsden County's best bakers and sold at grocery stores, specialty shops, and restaurants. Below are some of the famous spots to grab an Indiana Sugar Cream Pie in Gadsden County:

  • Carol's Country Cooking
  • Las Delicias
  • May Flower Chinese Restaurant
  • El Jalisco Havana
  • Gocki's @ Havana Trading Company

Key Lime Pie

One of the most popular desserts in Florida is Key Lime Pie. As the name implies, Key Lime Pie is made from key limes, a primary crop grown throughout Florida.

This pie is typically made with egg yolks, cream of tartar, fresh lime juice (or bottled lime juice mixed with fresh lemon juice), condensed milk or sour cream, and sweetened with honey or white sugar.

You can find this dessert at almost any restaurant in Gadsden County, but here are the most popular places to grab your dessert:

  • Winn-Dixie
  • Tootie-Pies
  • Captain D's
  • Harveys Supermarkets
  • Bleachers Pub & Grub
  • WB's Sports Bar & Grill Llc

Bottom Line

Are you planning to buy a home in Gadsden County, Florida? If so, you might be eligible for the FHA 203k loan program. This home improvement loan can help you get your home ready to buy and help make improvements that'll increase your property's value, resale value, livability, and functionality.

If you're interested in taking advantage of this great program in Gadsden County, contact a HUD-approved consultant or a local loan officer to help determine your eligibility and guide you through the entire application process.

With over 50 years of mortgage industry experience, we are here to help you achieve the American dream of owning a home. We strive to provide the best education before, during, and after you buy a home. Our advice is based on experience with Phil Ganz and Team closing over One billion dollars and helping countless families.

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