Bottom Line Up Front
FHA 203(k) rehab loans let you finance the purchase of a home and the cost of its rehabilitation through a single mortgage. This is ideal for buyers who want to purchase fixer-uppers, make structural repairs, or modernize older homes without needing separate construction financing.
Overview
FHA 203(k) rehab loans let you finance the purchase of a home and the cost of its rehabilitation through a single mortgage. This is ideal for buyers who want to purchase fixer-uppers, make structural repairs, or modernize older homes without needing separate construction financing.
Who Qualifies?
580+ credit for 3.5% down. Owner-occupied primary residence. Renovation work must begin within 30 days and complete within 6 months (Limited) or 12 months (Standard). Licensed contractor required for Standard 203(k).
Key Benefits
- ✓One loan covers purchase + renovation
- ✓Low 3.5% down payment
- ✓Based on after-improvement value
- ✓Streamlined and Standard options
- ✓Eligible for most property improvements
✅ Pros
- Buy a fixer at a discount
- Single closing, single loan
- FHA credit flexibility
- Force equity through improvements
⚠️ Considerations
- FHA mortgage insurance applies
- Contractor and inspection requirements
- Longer closing timeline
- Renovation must meet FHA guidelines
California-Specific Information
With California's older housing stock in many neighborhoods, 203(k) loans are a powerful tool for buyers priced out of move-in-ready homes. Buy a dated property below market, renovate, and build instant equity.
Rates & Pricing
Same rates as standard FHA loans. Total cost includes renovation budget financed into the loan amount.
Why Choose Save Financial for Rehab Loans (203k)?
Save Financial is a trusted California mortgage broker (NMLS #377740) with 45 years of combined experience and relationships with 20+ wholesale lenders. We specialize in finding the best rehab loans (203k) rates and terms for California borrowers. Our $500 price guarantee means if we can't beat another lender's offer, you get $500. We serve 60+ California cities from our offices in Newport Beach and Marina del Rey, and our team speaks English and Spanish.
Call (888) 703-1840 or get a free quote online — open 7 days a week, 9AM–8PM.
$500 Cash Loan Price Match Guarantee
Get a written offer from any lender. If Save Financial cannot beat it for the same product, we pay you $500 cash.
NMLS #377740 · DRE #01875766 · Call (888) 703-1840
Reviewed By
Mike Baasti, Licensed Mortgage Broker
Founder of Save Financial, Inc. (NMLS #377740) in Newport Beach, CA. 20+ years in residential and investment lending across conventional, FHA, VA, jumbo, hard money, bank statement, and specialty mortgage programs.