203(k) Inspections in Philadelphia, Reading, Lancaster, Allentown, West Chester & Surrounding Areas

 
   David Artigliere, with ARTI Home Inspections LLC, is a HUD-  
  Approved 203K Consultant.  He plays an integral part in the 
  successful completion of a 203k loan transaction and
  guarantees rapid turnaround time. 

  ARTI Home Inspections LLC uses state-of-the-art construction
  estimating software and electronic data transfer to consistently
  submit work write-ups within 24 hours of the site visit.



What is the 203K program?

The 203K program, sponsored through HUD, is a purchase-renovation program in which an all-inclusive loan serves to both acquire a real estate property and restore or upgrade the property to current martketable conditions. These programs provide financing for "fixer-uppers", rehabs, or foreclosures in any condition and offer the opportunity to repair, update and customize the home into a "dream come true." Currently, HUD only offers their 203K loans to first-time homebuyers and non-profit organizations HOWEVER, private lenders (such as Wells Fargo, Countrywide, & American Home Mortgage) has begun to offer a conventional version of the 203K to customers, including real-estate investors.

How does the program work?

The process begins with finding a piece of property that is in need of $5000 or more in repairs, as well as a lender who provides a purchase-renovation program. The property can be a 1-4 unit, condo, mixed-use property, or even a manufactured home.  Repairs can include structural repairs, septic or well replacement, basement waterproofing, lead-based paint stabilization or abatement, painting, adding a deck or pation, appliances, energy improvements, or upgrading any components in the home such as the roof, plumbing, floors, HVAC systems, etc.

A work write-up is then requested from a HUD-approved consultant. A work write-up is NOT the same as an inspection; home inspections are NOT needed for the 203K program. The work write-up is a detailed list of repairs, including estimated prices of materials and labor.

An appraiser is then called to provide one "as is" appraisal and a second "after improvement" appraisal. The appraiser is given the consultants work write-up plan and cost estimates to determine the market value. The lender bases their final loan amount on this after-improvement market value estimate.

After the loan and write-up are approved, the work begins and must be completed within 6 months of loan closing and under the supervision of the general contractor (chosen by the buyer) or, in some cases, under the direct supervision of the buyers, themselves. The consultant, at the buyer's request, performs draw inspections to ensure the quality and progress of the work as well as to release the renovation money from escrow.

In the end, that "fixer upper" property becomes a dream home!

Where does ARTI Home Inspections LLC fit in?

David Artigliere, Owner of ARTI Home Inspections LLC, is approved by HUD as a 203K consultant for this program. His job is to work with the buyer to develop a work write-up that includes all the repairs needed to ensure the safety of the property and the buyer. He serves essentially as a mediator between the buyer, the lender, and the contractors.

What is included in the work write-up?

First, the work write-up includes repairs needed to ensure the property is safe and habitable.  Second, the report includes additional repairs or upgrades desired by the buyer. Want to upgrade the kitchen with new appliances?  Want a pool in the back yard? Want to add another bathroom or bedroom?  This and more is possible through this program!

What are the benefits of this program?

• Great Deals: You can purchase a "fixer upper" at a lower price and qualify for the home purchase that many other programs would not allow.  A hard-to-sell property can turn into a "dream home".
• More $$in your pocket: You can hang onto your savings while fixing up a broken-down house.
• Low interest: by dealing with the FHA, you will get a better than average interest rate on the money you need to borrow. Many rehab loans in the commercial marketplace can be very expensive.
• Simplicity:  There is one loan closing and one monthly payment.
• Upgrades:  You can include upgrades such as swimming pools, kitchen appliances, adding additional square footage and/or rearranging existing floor plans.

David Artigliere, with ARTI Home Inspections LLC, is a HUD-Approved 203(k) Consultant and proudly serves Philadelphia, Reading, Allentown, Lancaster, and West Chester & Surrounding Areas in Southeastern PA.