FHA 203(h) Disaster Relief Loans
FHA 203(h) Disaster Recovery Mortgage Program Overview
If your home (RENTED OR OWNED) was destroyed or seriously damaged by Hurricane Irma, and is now uninhabitable, we may be able to help you purchase a new home with the FHA 203(h) Disaster Recovery Mortgage Program. This program makes purchasing a new home more affordable for victims of natural disasters.
- NO DOWN PAYMENT
- MINIMUM CREDIT SCORE OF 500
- AVAILABLE FOR 1 YEAR AFTER MAJOR DISASTER DECLARATION
- ATTRACTIVE MORTGAGE RATES AND FLEXIBLE BORROWER QUALIFICATION REQUIREMENTS
The FHA 203(h) Disaster Recovery Mortgage Program enables borrowers that live in a Presidentially-Declared Major Disaster Area, and whose homes were destroyed or damaged to such an extent that reconstruction or replacement is necessary, to purchase a new home with no down payment.
Other advantages of this program include:
- lower mortgage rates
- more flexible mortgage qualification requirements
- a lower required credit score
Just like a standard FHA loan, borrowers are required to pay an upfront and ongoing annual FHA Mortgage Insurance Premium (MIP). FHA MIP is an additional upfront and recurring monthly cost that borrowers are required to pay.
How much money will I have to put towards a down payment?
An FHA 203(h) Disaster Recovery Loan offers 100% financing, which means no down payment required. Closing costs will be paid by borrower at the time of closing.
What about my credit score?
The borrower must have a minimum credit score of 500.
What is the FHA mortgage lending limit for Monroe County, Florida?
What type of property could I purchase for my new home?
A single family residence, or FHA approved condo.
How long will this program be available?
Eligibility remains for up to one year from the disaster declaration.
What do I need to do to qualify?
RENTERS will need to provide pictures and an official FEMA or Home Inspection detailing the damage to the property. They will also need to provide proof of residency.
HOMEOWNERS should begin acquiring documentation from their current mortgage holder, as well as their flood and homeowners insurance policy holders.
- Written report from FEMA or homeowner’s insurance company concerning damage estimate or total loss
- Document proof borrower is working with servicing lender to appropriately address their mortgage obligations; AND
- ALL insurance proceeds received MUST be applied to the mortgage of the damaged home.
- Proof of flood insurance & that appropriate claims have been filed.
To learn more specifics about this program, and the qualifications that are required, give us a call or send an email at anytime.
Office: (305) 834-8528