Real Estate News About Woodbridge, Mount Vernon, and Lorton Virginia: How To Buy A Fixer-Upper In Woodbridge Virginia

How To Buy A Fixer-Upper In Woodbridge Virginia

Buying A Fixer-Upper In Woodbridge Virginia

You want to buy a fixer-upper in Woodbridge Virginia, renovate the house, then live in it, or flip it for a profit.

How do you buy a fixer-upper in Woodbridge?

1. The easiest way is to pay cash for the house.  An all-cash offer will likely get you the best price, and your closing costs will be next to nothing because you won't be paying lender fees.

Oh, you don't have $300,000 cash laying around your bank account?  That's okay.  You can finance your home purchase, and finance the improvements up-front with some special government and conventional home loans.

2. FHA Streamline Program: You can use the FHA Streamline loan to buy the house with an extra $35,000 cash paid to you at closing to pay for paint, carpet, maybe a new kitchen, or new baths, so long as the money is put into upgrading the house.  You will need to put up a 3.5% down payment, and you will be charged mortgage insurance in your monthly payment.

3. FHA Standard Program: You can use the FHA Standard loan to buy a house with more latitude on the amount of money you will need to have paid to you at closing.  You will need to provide a detailed estimate of the costs of upgrades you will be making in the houe you are buying, and you will be accountable to FHA as you make the upgrades for the funds allocated.  You will pay a 3.5% down payment on the total amount borrowed, and you will pay mortgage insurance in your monthly payment.

The two FHA programs offer the lowest down payments, and the most flexibility to borrowers with modest incomes.

4. Fannie Mae HomeStyle: This program can offer you more flexibility to finance remodeling costs based on as completed value of the home, including luxury items, like swimming pools and inground spas.  You can also borrow amounts above the FHA $417,000 ceiling.  However, this program requires higher income, higher credit scores, lower debt to income ratios, and at least 5% down payment.

5. Some conventional loans will help you finance repairs based on repairs by licnsed contractors doing the work.  No do it yourself work is allowed.

All of the programs above require a professional home inspection, and all require estimates of the costs associated with the repairs by licensed contractors.  If you choose to do some of the work and save some money, well goody for you, but you have to get estimates from contractors.

So, you want to get started with a fixer-upper.  The first step is to get together with a competent REALTOR who can help you scrub the market and find a fixer-upper priced below the market, so you will have equity when you buy the house.

I'm not bragging, but I've helped over 2,000 nice folks like you buy or sell homes over the past 24 years, and I've helped a lot of folks buy fixer-uppers at cheap prices.

You can get a list of fixer-uppers that are on the market right now when you text or call me at 703-677-1120.  

You can also search for fixer-uppers using this MLS search feature.

For a personalized list of fixer-uppers that match your wish list just text or call 703-677-1120 right now.

Or you can do your own search for fixer-uppers in Woodbridge Virginia.

Erick BlackwelderCall or text Erick Blackwelder right now for help finding a home, or help selling your house.  

Don't worry... Erick doesn't bite, and you won't get a sales pitch.  Text or call Erick now at 703-677-1120 for a FREE consultation.

CLICK HERE NOW to search the Multiple Listing Service (MLS) for homes for sale in and around Woodbridge, Lorton, and Mount Vernon.

Exit Realty Associates
8998C Lorton Station Blvd
Lorton, VA  22079
Equal Housing Opportunity

 

 

 

 

 

 

 

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Click the link above to email a question to me or call me now at 703-677-1120.  

 

 

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Comment balloon 1 commentErick Blackwelder • September 25 2014 08:42AM

Comments

Great tips for getting a fixer upper under contract.  It can be quite the sound investment in the right area.  

Posted by Kevin Mackessy, Dedicated. Qualified. Local. (Blue Olive Properties, LLC) almost 6 years ago

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