203(K) REHAB LOAN

As small business owners or general contractors, you have enough to deal with overseeing the operations and management of your company. You should not have to turn away clients because of the regulatory and compliance reporting requirements attached to a project. With strong housing demand having no end in sight, home buyers are increasingly turning to home purchases requiring reconstruction or reconditioning. Often these purchases are made through the use of a 203(k) Rehab Loan. These mortgages fund the construction budget directly through the mortgage company. With these valuable renovation projects becoming more common to general contractors, 203(k) projects are now major components to their bottom line. Failing to win a contract because of an inability to navigate the underwriting process means losing out on high quality jobs fully funded by the mortgage bank. Unfortunately, taking on 203(k) rehab projects means taking on serious administrative burden. The reporting and documentation requirements for contractors are exhaustive, from navigating the needs of the mortgage broker, adhering to underwriting documentation requests, and ensuring all necessary compliance measures are maintained for the bank, many contractors are unable to handle the administrative aspect to secure the contract.

The MRIA Group will handle all the administrative and compliance requirements associated with your 203(k) rehab loan project. We work with brokers, underwriters, and banks, ensuring the process moves from offer to closing within the time frame required. By leveraging our experience and industry expertise, the MRIA Group will shorten the process and help you land fully funded contracts, leaving you to manage the operations of your company and keep your teams in the field, limiting downtime between jobs. With the MRIA Group handling all of your 203(k) rehab loan requirements, you will increase profitability, increase cashflow collections, and increase your visibility with local real estate agents and mortgage brokers in need dependable contractors for their clients. Working with the MRIA Group sets you apart from the competition and builds your reputation within the local community.

The types of improvements that borrowers may make using Section 203(k) financing include: 

  • structural alterations and reconstruction 

  • modernization and improvements to the home's function

  • elimination of health and safety hazards

  • changes that improve appearance and eliminate obsolescence

  • reconditioning or replacing plumbing; installing a well and/or septic system

  • adding or replacing roofing, gutters, and downspouts

  • adding or replacing floors and/or floor treatments

  • major landscape work and site improvements

  • enhancing accessibility for a disabled person

  • making energy conservation improvements