Guidelines for FHA
Home Improvement Loans (Purchase or Refinance)
Federal Housing Administration
(FHA), which is part of the Department
of Housing and Urban Development (HUD), administers
various single family mortgage insurance programs.
These programs operate through FHA-approved lending
institutions which submit applications to have the
property appraised and have the buyer's credit approved.
These lenders fund the mortgage loans which the
Department insures. HUD does not make direct loans
to help people buy homes.
Section 203(k) program is the Department's
primary program for the rehabilitation and repair
of single family properties. As such, it is an important
tool for community and neighborhood revitalization
and for expanding homeownership opportunities. Since
these are the primary goals of HUD, the Department
believes that Section 203(k)
is an important program and we intend to continue
to strongly support the program and the lenders
that participate in it.