Are there required repairs that one must do to get a Homestyle loan? Is a HUD consultant necessary like with a 203K loan?
Thanks in advance
Thank you for your question. The HomeStyle loan requires a certified and licensed contractor to inspect and write a report with all the details including a description of the renovations and a cost estimate for the repairs, including an itemization of labor and materials. You can choose your own certified contractor, but the lender needs to make sure they’re qualified for the job.
HomeStyle loans will cover any building code violations (which would likely be required before funds can be used for cosmetic and other upgrades), structural changes, energy efficient upgrades, plumbing and electrical, and cosmetic updates. You’ll want to check with the lender for the latest requirements.
Here’s a link to our article on HomeStyle Loans: https://fitsmallbusiness.com/homestyle-loan-mortgage/
Hope this helps!