NJ FHA 203k Success Story – Yep we did it again!

It’s starting to sound like a bad Britney Spears song (sorry to all you Britney fans out there) but …
Britney Spears - Oops I did it again

Ooops…We Did It Again!

We took a wonderful NJ couple and showed them the power of the FHA 203k mortgage program.  We showed the customer once again that by using this mortgage program that you can buy a home in NJ, PA, DE, or any of the 27 states that AnnieMac Home Mortgage is licensed in to create INSTANT EQUITY.

Amazing, Isn’t It?

Everyday we watch the news and see that home values continue to drop, foreclosures are up and short sales are dominating the market.  Yep – it’s true that all of this is a constant reminder of the mortgage meltdown and what is wrong with the banking industry, but the FHA 203k renovation mortgage is a mortgage that is allowing us to help families to see that there is a light in the mortgage marketplace.  By using this mortgage, our customer created over $85,000 in equity…..you did read that right $85,000. Amazing isn’t it?

The Details

OK – so how did this person get such an amazing deal in NJ?  Well, they found a bank owned property (not all that hard in this environment.)  All you need is a good NJ Realtor. They should be able to help you find good properties for this program (and if not, email me – I have a list of good Realtors all over the 27 states we are licensed in.)  Then they got a FHA 203k Consultant to do a work write-up on what work was needed to get the property up to FHA minimum property standards. I recommend finding and using a FHA 203k Consultant on Mike Grace’s website,  The 203k Connection. Make sure to tell him you found him while reading my blog. 🙂  The Realtor had already worked up comparables of what the property would be worth once the work was all complete:

Property Purchase Price $90,000
Repair Work $31,000
Costs, Escrows, Etc. $14,000
Total $135,000

After Work Completed Value Per Appraisal $220,000
Less the Investment $135,000
INSTANT EQUITY $85,000

Equity Built – Now What?

Well now that the home has been bought and the closing is complete the contractor starts his work and within 6 months the borrower will be moving into there new dream house.  The great part about this is- besides the incredible equity that we built- 6 months of mortgage payments were escrowed so that the client could live in there current apartment and not have to make 2 payments out of there pocket.

So contact me or one of my team and we will work with you to show you the power of the FHA 203k Renovation Mortgage in NJ, PA or any other state that AnnieMac Home Mortgage is licensed in.

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