Examples
of 203k loan fees and charges
Bankrate.com
There are a lot of special rules
and limits to a 203k loan, but a standard home buyer's situation
might look something like this. For more details, visit HUD's
Web page on 203k loans.
|
BASIC COSTS
|
| Home
value: |
$50,000 |
| Rehab
work: |
$10,000 |
Overall
mortgage:
(less 3% down payment) |
$58,200 |
Mortgage
rate:
(Based on HUD estimate that rates average 1% more than standard
FHA rates, currently 6.91% in our average national survey):
|
7.91% |
FHA
insurance fee:
(One-half of 1% of loan amount; this shrinks over time with
balance) |
$291
($24 in monthly installments) |
| Monthly
Payment: |
$447 |
|
ADDITIONAL FEES
|
| The
fees for write-ups and other charges may be rolled into the
rehab portion of the loan. Borrowers can also roll in monthly
payments on the mortgage until the property is livable. |
| Consultant's
initial architectural write-up: |
$500
|
| Charges
for signing off on work draws: |
$250
($50, up to five inspections) |
Supplement
lender charge:
(allowed on 203ks by HUD -- 1.5% of rehab portion of loan) |
$150
|
| Standard
closing costs (est.): |
$1,500 |
| Total
fees: |
$2,400 |
|
