Can we buy a house that needs a new roof with an FHA loan?
okay so the house we want to buy has a 20 year old roof that leaks. It won’t pass inspection I am sure and my lender said I can’t get a 203k just because of the roof. If the roof is bad will the people we want to buy the house from have to fix it before they sell it or will we have to fix it ourselves?
We offered what they were asking.
We can’t get a conventional loan, so we have and FHA and the realtor told us they’ll prolly have to fix the house before they sell it.
Tags: House, Loan, needs, roof
2011/10/24 at 22:27:29
The sellers are more likely to take a different offer then put on a new roof, unless your offer is just killer, and I doubt that as it is FHA.
Get a conventional loan if you want this house.
2011/10/24 at 22:15:15
the seller is required to make repairs or escrow the funds in at close for the roof at the very least. Most underwriters will want that plus any interior damages repaired prior to close. Only on a foreclosure will this 203K be even remotely possible
2011/10/24 at 21:18:26
One of two things can occur here (and I say can, because it’s ultimately up to FHA). The roof either must be replaced before the closing date, or the cost to replace the roof must be escrowed X 1.5 (if the roof cost $6,000 to replace, $9000 must be escrowed). But they will not pass the house without the roof issue being addressed.