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FHA 203k Loan in Hendry County, Florida

The FHA 203k Loan program was designed to help homeowners with financial difficulties afford to purchase and renovate their homes while minimizing the financial impact. An FHA 203k loan allows you to upgrade your home's existing structure or components to increase its value, functionality, and liveability or prolong its useful life without worrying about getting additional cash out of pocket.

If you're looking to buy or renovate a home in the Hendry County, Florida area, the FHA 203k loan might be your best bet. This government-backed loan can help you purchase and improve your property with as little as 3.5% down, making it easier to get started on your next home project.

To learn more about how this program works, various types, eligibility requirements, the application process, and utilizing it to create the home of your dreams, continue reading this guide. We'll also discuss the five best desserts in Hendry County and where to find them.

The Basics of FHA 203K Loans

An FHA 203k loan is a loan that helps you purchase a house in as-is condition and make necessary improvements to enhance its condition, functionality, and value. The program is designed to help borrowers with low-to-moderate income buy homes that are not otherwise within reach due to expensive repairs or renovations.

It also helps homeowners with a home they love but can't live there because of inadequate living space or outdated amenities like kitchens and bathrooms.

Suppose you're considering using a home improvement loan to turn your older property into the dream home you've always wanted but never been able to afford or want to remodel your current home to suit your needs and tastes; an FHA 203k loan may be just what you need.

These loans can be used for single-family homes, duplexes, condos, or multifamily properties of less than four units. However, the home must meet HUD's physical inspection standards.

Types of FHA 203K Loans

Three types of FHA 203K loans can help you finance your home renovation project. These 203K loans include the Standard 203K loan, the Limited 203K loan, and the HomeStyle Renovation loan.

Understanding these three loan options will make it easier to find the one that fits your needs and requirements when looking to purchase fixer-upper property in Hendry County, Florida.

FHA Standard 203K Loan

Standard 203K loans are the traditional home improvement loan that you homeowners make significant improvements to your home. Unlike other types of 203k loans, there's no maximum for the amount financed or for how many repairs can be done at once with this type of loan, but you can't exceed FHA mortgage limits.

Cosmetic, minor repairs, and other modern renovations may qualify for this financing if the project cost exceeds $35,000 but not less than $5,000.

You'll need a HUD Consultant and a contractor. The HUD Consultant will ensure your contractor meets the minimum property standards, and your contractor will work to complete the work as required by the contract. The following are the various home improvements eligible for an FHA Standard 203K loan in Hendry County, Florida:

  • Restoring the pool.

  • Finishing a basement or attic.

  • Repairing foundational issues.

  • Demolishing walls to expand the floor plan.

  • Constructing a retaining wall to handle flooding.

  • Constructing an expansion to add square footage.

  • Extending the size of your windows to improve interior lighting.

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

  • Expanding the size of your kitchen by outstretching into the dining room.

FHA Limited 203K Loans

Limited 203K loans can only be used to purchase and renovate homes that need non-structural or cosmetic work on specific systems, such as plumbing, heating, or electrical. To qualify for a Limited mortgage, the total cost of the repairs cannot exceed $35,000.

The Limited home improvement loan doesn't require a HUD consultant. As the borrower, you'll submit a written work plan demonstrating your understanding of the contractor's bid. This loan can't be used to finance a mortgage.

The following is a list of home renovations or repairs eligible for a Limited 203K loan in Hendry County, Florida:

  • Fixing the septic.

  • Interior and exterior painting.

  • Replacing tub and showers.

  • Replacing or repairing the siding.

  • Enhancing property accessibility for persons with disability.

  • Replacing or repairing the roof, gutters, and downspouts.

  • Replacing windows and doors to enhance energy efficiency.

  • Minor kitchen rehabilitation, which doesn't involve structural repair.

The HomeStyle Renovation Loan

With a HomeStyle renovation loan, the borrower can perform any repair permanently attached to the property, including structural and non-structural repairs. The funds can be used for major repairs, renovations, or replacements necessary to bring a property up to code. You're allowed to landscape and install site amenities.

The following home improvements are eligible for a HomeStyle Renovation loan in Hendry County, Florida:

  • Constructing a pool.

  • Rejuvenating a well.

  • Putting on a new carpet.

  • Updating all fixtures.

  • Constructing an on-suite bath.

  • Creating an open-plan floor.

  • Mending the lead-based paint.

  • Constructing an attic and adding dormer windows.

  • Transform the fascia of your home to improve curb appeal.

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

The FHA 203K loan program has specific eligibility requirements that ensure it's only used in specific situations. Keep reading to learn more about these requirements you must meet before applying for your home renovation loan:

Minimum Credit Score

You can improve your credit by paying bills on time, paying outstanding debts, and keeping good standing on all accounts. You must have a minimum credit score of 620 to apply for an FHA 203K loan. A low credit score under 620 will make it difficult, if not impossible, to obtain a home loan.

Debt-to-income Ratio (DTI)

Your debt-to-income ratio (DTI) is your monthly housing payment, including taxes, loans, debts, and insurance, divided by your gross monthly income. In short, your DTI measures how much debt you have versus how much income you make.

The maximum allowable DTI ratio for the FHA 203K program is 43%. If you have a higher DTI ratio (exceeding 43%), you may not qualify for an FHA 203K loan. However, you may be eligible if you're willing to pay a sizeable down payment to cover the difference in your required mortgage-to-income ratio.

Fortunately, there are ways to improve your DTI, making it easier to get approved for an FHA 203K loan. For instance, you can increase the amount you pay monthly on debts, avoid more debts, find a source of extra income, extend the duration of your loans, or negotiate with your lender. Remember, improving your DTI can help you qualify for better loans and interest rates with future lenders.

Additional Product Information

It can be challenging to understand the different eligibility requirements of the FHA 203K loan program, especially if you're a first-time borrower. In addition to meeting general eligibility requirements, you must fulfill additional eligibility requirements to qualify for this loan type.

The following are additional eligibility requirements you must meet before applying for an FHA 203K loan:

  • Accessory dwelling units (ADUs) are only permitted on one-unit properties but not on those with two-to-four units.

  • An eligible home must include basic amenities like sleeping quarters, a kitchen, and a bathroom with running water.

  • A stable financial standing is required, with no past bankruptcy or foreclosure.

  • You cannot use the 203K loan to consolidate or pay off an existing mortgage.

  • You must occupy and use the property as your primary residence.

  • The 203K loan cannot be used to buy or repair rental properties.

Money bag and model home for home renovation

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

If you meet the eligibility requirement, you may qualify for an FHA 203K loan and secure the financing you need to accomplish your homeownership dream sooner.

The following guide will walk you through the steps in applying for an FHA 203K loan to be well-prepared when you meet with your lender.

Find a Qualified Loan Officer

Take some time researching and finding a qualified loan officer to help you through this process. They should be knowledgeable about FHA 203K, explain what each term means, help you determine if you're eligible, keep in touch with you through the process, and provide as much information about your loan options.

Get Pre-approved

The next step is to get pre-approved by a mortgage lender. Once you have done this, you will know how much you can borrow and the terms of your loan. The pre-approval process typically takes a few weeks, but it could take longer if you don't have all the required documents on hand or don't meet the minimum credit requirements.

You must fulfill the eligibility requirements to get pre-approved, like having a stable income, a decent credit score, a sustainable debt-to-income ratio, and enough assets to cover your monthly mortgage without financial assistance. You'll prove your income by submitting pay stubs, bank statements, and tax returns.

Home Inspections and Appraisal

You'll get a home inspection and appraisal before applying for a 203K loan. Home inspections are conducted by HUD-approved consultants who inspect the property and its systems to determine if they comply with current codes.

This way, the lender knows that the house you want to buy is in good condition or if significant repairs are needed. They'll help determine if repairs cost more than the home is worth.

Provide Specs and Plans

The pre-agreed specifications and plans are essential for an FHA 203K program, especially if you want to remodel the floor plan.

A contractor, engineer, architect, or construction professional can provide these specifications and plans. You should include a cost analysis of each facet of your project in your reports, such as labor and materials.


After the final review of the appraisal, the file will be passed to the underwriter for underwriting. If everything is in order, your file will be presented to the lender's decision-makers to decide on your loan. You'll know you're set to close when you see a decision letter on your dashboard.


The loan will close, and the contractor can begin the repair or renovation work. Once the work nears completion, the lender's appraiser will inspect the property to ensure the work is done per the agreement and meets all the HUD property standards.

Transform Your Existing Home with an FHA 203K Loan

Are you tired of your tiny two-bedroom home and wondering how to create your dream home without moving out? An FHA 203K loan might be the perfect solution. With an FHA 203K loan, you'll be able to remodel or repair any number of things to create the home you always wanted while living in it at the same time.

The following are some of the simple but rewarding improvements to transform your existing home into your dream home without moving out to excuse the project:

  • Construct a residential pool to form a home oasis.

  • Make rejuvenating touches to create a stylish feel.

  • Construct an additional bathroom to stop sharing one with your family.

  • Add square footage to your congested home to grow with your family.

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

There are many mouthwatering desserts in Hendry County, Florida, that you can enjoy at any time of the day. Whether you prefer something sweet for your afternoon coffee or want to indulge after dinner, this county has some tasty options you can't afford to miss.

Check out the following list of dessert recommendations that'll make your sweet tooth smile.

Blackberry Peach Cobbler

Blackberry and peach are the most popular flavors around during the summer months. One of the best ways to take advantage of these two flavors is by adding them to a traditional American cobbler recipe.

The blackberries not only add some tartness, but they also give it a gorgeous purple color. You can find this dessert at any restaurant or cafe in Hendry County, but the following are some of the popular spots:

  • Short Cakes
  • Sonny's BBQ
  • Beef 'O' Brady's
  • MP Fruit Cups and More
  • Bridge Street Coffee & Tea
  • Berrylicious Frozen Yogurt

Chocolate Cheesecake

Delight your senses with a chocolate cheesecake. This dessert is light, yet the cream cheese layer balances out the sweetness of the chocolate. The addition of whipped cream on top makes this cheesecake irresistibly delicious.

There are many ways to serve it - slice it up and serve with fresh fruit or whip cream on top or add a cake crumb crust for extra flavor. Stop by one of the following spots to grab a mouthwatering chocolate cheesecake:

  • Common Grounds Coffee Shop
  • Cane Nutrition
  • Burger King
  • Hawaiian Shave Ice
  • Walmart Supercenter

Apple Crisp

This crisp dessert is the ultimate comfort food. The edges are crispy and buttery, while the interior stays moist and flaky with a hint of tartness from the Granny Smith apples.

It's topped with walnuts and a sweet sauce made from cinnamon and brown sugar to satisfy your sweet tooth. The following are some of the famous places to find Apple Crisp in Hendry County, Florida:

  • Burger King
  • Dunkin'
  • Winn-Dixie
  • Subway
  • Walmart Supercenter

Key Lime Pie

No discussion of desserts in Florida would be complete without a mention of Key Lime Pie. As one might expect from the name, Key Lime Pie is made with key limes and condensed milk. This makes for a uniquely tart and creamy sweet treat to please your palate. Everyone has a different idea of what constitutes the perfect Key Lime Pie.

Some like a thick custard that tastes almost like cheesecake with zesty flavors of citrus. Others enjoy a more meringue-based pie with the flavor of sweetened condensed milk and egg yolks layered on top.

Regardless of your preferences, you'll find your favorite Key Lime Pie in one of the following spots in Hendry County, Florida:

  • Forrey Grill
  • Two Peas Cafe
  • The Quart House
  • Kristin's Key Lime Pies
  • Buckingham Farms Labelle

Banana Split

This popular dessert originated at a soda fountain store in Pennsylvania during the early 1900s. Initially, it was topped with only three kinds of fruit and a scoop of ice cream. However, today's banana splits can be served with as many toppings as you want.

Some typical toppings include whipped cream, cherries, nuts, and chocolate sauce. The dessert is also typically served with a long wooden spoon for you to easily spear all of your favorite toppings. Stop by one of the following spots to have a delicious Banana Split:

  • MP Fruit Cups and More
  • Two Peas Cafe
  • Cane Nutrition
  • Winn-Dixie
  • Taco Bell
  • Vcreme

Bottom Line

If you're buying a property that needs renovation in Hendry County, Florida, an FHA 203k loan might be right for you. These loans allow homebuyers to borrow funds to cover the purchase cost and finance the necessary repairs on their new home.

To help you determine whether or not this type of loan would be right for you and your transaction, contact a HUD-approved consultant or local loan officer today.

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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