New exterior with less porches and farmhouse siding
We have not actually started the house yet. We closed on our first loan at the end of
November 2016. It is now early February
2017. BUT – I am not frustrated. This process just takes a while and we where
working around holiday and such. The big
thing is the planning all has to be perfect before the bank will approve the
renovation. We bought the house on the
first loan with a conventional loan and now we are refinancing it with a 203K
loan. The previous owner didn't want to wait for a 203K loan to go through and now I see why. It does take awhile. 203K loan is a federal loan that is
designed for people to take structures that already exist within the community
and finance money to fix up those structures, instead of ripping them down.
- Rules of 203K as I understand them:
- Zero down
- Very detailed plan done by a professional
- The work has to be done by a professional
- Done within six months
- 10% contingency plan built in to the total loan
- Has to make sense with the appraisals in the area
- Each county has a different max amount that you can loan
- Work can only be on the structure itself, it can’t be on any outbuildings
That is a very broad overview, if anyone
wants more deets, or wants to actually talk numbers, I got nothing to hide and I
am happy to discuss it.
Now
that our plan is totally finalized and all the least uncomfortable cut backs
have been made (we cut the budget 80K from the first quote to what we actually submitted), we have all our information submitted to the bank. Now we wait till they say yes or no, and we
work from there. I think we will
actually break ground sometime in early March and then it is full steam
ahead. We only have our rental house
till August at the very latest, but we will deal with that problem latter. We might end up living in our barn for
awhile! Wouldn’t that be a fun story to
tell the grandbabies? I’ll deal with
that when we get to it.
Speaking of the barn – Josh has been working like crazy in his future shop area. He has the entire ceiling and all the random things being stored above it gone. He replaced the ceiling with barn metal and is adding insulation. Don’t forget that it is the dead of winter here right now, so all that is pretty darn impressive. Once it warms up a little we will power wash in the inside and get started painting. The barn work is never going to stop, but we saw that coming and think of it as part of the adventure.
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