Resources to help REALTORS® and their customers find affordable housing in 2021
Homeownership Month is a great time for REALTORS® to reacquaint themselves with tools that can help consumers find the homes that are right for them, especially when the market is as competitive as it is now.
For example, if you are working with a first-time homebuyer who hasn’t been able to win the bidding for an affordable home or you are helping a homeowner who needs a place with more room but hasn’t found it yet, Section 203(k) Rehab Mortgage Insurance could be the answer.
Section 203(k) can help homebuyers finance the purchase of a home and the cost to refurbish it through a single mortgage, or it can help homeowners refinance, repair and modernize their house. Section 203(k) insured loans offer borrowers single, long-term loans with lower interest rates. Plus, they protect lenders by allowing them to get the loans insured before the condition and value of the property can provide adequate security.
The cost of the rehabilitation of a property can range from $5,000 to a virtual reconstruction. Examples of eligible improvements, according to the U.S. Department of Housing and Urban Development (HUD) are:
- elimination of health and safety hazards,
- reconditioning or replacing plumbing,
- adding or replacing floors and/or floor treatments and
- enhancing accessibility for a disabled person.
Illinois REALTORS® offers numerous other mortgage and affordability resources. Among those resources are several pdfs that members can download and share with consumers:
Also available are two Freddie Mac videos, links to mortgage programs offered by the Federal Housing Administration, Fannie Mae, Freddie Mac, the U.S. Department of Veterans Affairs, the Illinois State Treasurer’s Office, the U.S. Department of Agriculture and the Federal Home Loan Bank of Chicago. In addition, Illinois REALTORS® offers senior housing resources that include a downloadable brochure and two infographics. Find out more.
Celebrate Homeownership Month by sharing some of this valuable information with previous customers, neighbors, friends and acquaintances. Show your commitment to helping everyone find a home that’s right for their needs.