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FHA 203K Limited Loan (AKA Streamline) Your $75,000 Renovation Solution

Home-buyers and Homeowners take advantage on making meaningful home improvements that go beyond basic cosmetic updates. With the Limited version of the FHA 203(k) loan—formerly known as the "Streamline" it will provide you greater flexibility for a broader range of renovations projects.

What is the “FHA 203k Limited” maximum rehabilitation amount?

The total rehabilitation-renovation maximum for the “203k Limited” cannot exceed $75,000 that will include your reserves for unexpected expenses & overruns, inspection fees and title updates.

What are “FHA 203k Limited” Requirements:  

  • Occupancy Requirement: Borrowers cannot keep the property unoccupied for more than 30 days during renovations.
  • The repairs and improvements must be completed within nine months
  • The Total Rehabilitation cost must not exceed $75,000

What is not required:

  • A 203k Consultant is not required for the Limited 203k Loan but you do have the option to use one.

How does the “FHA 203k Limited” Benefit You?

Having an additional $75,000 is a game-changer for anyone eyeing a home that could use a little extra care. Here’s how it can work to your advantage:

  • Expand Your Home Search: These extra rehab funds means you don’t have to focus solely on pristine, move-in-ready properties. The added funds give you the freedom to consider homes that may need some work and customize them to fit your needs and style.
  • Build Value with Confidence: With more renovation potential, you can make improvements that both enhance comfort and increase your property’s long-term value without juggling multiple loans or dipping deep into savings.

What is the difference between FHA 203k standard and 203k limited?

The standard FHA 203(k) loan, which allows for larger budgets, structural repairs and more extensive renovations, remains essential for homes requiring heavy-duty work, up to 12 months to complete. But if you’re looking for moderate upgrades—something more than a quick facelift but less than a full overhaul—the $75,000 maximum on the 203k Limited loan is perfect for managing upgrades with less complexity and a shorter, nine-month renovation timeline.

FHA 203K GUIDE

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Get instant answers to your FHA 203K Loan Questions!

The Bigger Picture: Revitalizing Homes and Communities with the “203k Loan”

The $75,000 Limited 203k Loan will likely fuel interest in homes that need a bit of work, helping to revitalize older properties and inject fresh energy into neighborhoods. Buyers now have the opportunity to consider properties that might have previously felt just out of reach due to repair needs.


If you’re in the market for a fixer-upper, the FHA 203(k) Limited loan could be the tool to make the home improvements you’ve been planning a reality. It’s a chance to find a place with character, add your own touches, and make it truly yours—without the financial strain of going beyond your means.


More About The FHA 203K Loan!

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FHA 203K Loan Down Payment

Find out how much your Down Payment will be with the 203K Down Payment Estimator

FHA-203K-REQUIREMENTS

FHA 203K Loan Requirements

What Are FHA 203k Loan Requirements and Guidelines for Qualifying?

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FHA 203K Loan Calculator

The FHA 203k Calculator is easy to use and easy to read your results.

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FHA 203K Loan Limits

FHA 203K Loan Limits 2024 In Your Area. Just enter your county & state.

FHA 203K GUIDE

Download Your FREE

FHA 203K GUIDE 

  • Do you pay the overage on a 203K loan? Say a house is listed at $125,000 and you offer $140,000 does that overage come out of pocket or can that 203K loan cover it on a HUD purchase?

    • Mitch Asked:
      Do you pay the overage on a 203K loan? Say a house is listed at $125,000 and you offer $140,000 does that overage come out of pocket or can that 203K loan cover it on a HUD purchase?

      203k Mortgage Lender’s Answer:

      Hi Mitch,

      It’s not uncommon to get into a bidding war and exceed the list price which your lender should not have an issue with as long as the new sale price is addressed and justified within the appraisal to warrant the overage.

      In this case though you mentioned it’s a HUD purchase. HUD homes for sale will typically already have an appraisal on the property so any offer over the HUD list price will probably also be over the current appraised value and then “cash would be required at closing” to make up the difference.

      Best of luck

  • what are the credit score requirements for a 203K loan in 2011?

    • TR Asked:
      what are the credit score requirements for a 203K loan in 2011?

      203K Mortgage Lender’s Answer:
      Credit score requirements for a 203k loan in 2011 can range from one 203k Lender to another and on whether it’s a single family home or 2, 3 or 4 units. But if you have a minimum 640 middle credit score between the three major credit bureaus then you should be okay with just about any 203k Lender.

      This is a good question considering there is “NO” minimum credit score on FHA loans but yet all lenders seem to have their own policy on what is acceptable to them. You can find more information regarding qualifying on the blog at: FHA 203k Loan requirements

      203K Mortgage Lender

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