What is a 203K Loan?

A 203K Loan is a government-backed mortgage offered through the Federal Housing Administration (FHA) that allows homebuyers to include renovation or repair costs in their home loan. It’s ideal for buyers who want to purchase a home that needs improvements—or homeowners who want to refinance and upgrade their current property.

There are two types of 203K Loans:

• Standard 203K – For major structural repairs, room additions, or total renovations.

• Limited 203K (Streamline) – For non-structural, minor repairs and cosmetic updates (up to $35,000 in renovations).

What Can a 203K Loan Be Used For?

203K Loans cover a wide range of renovation projects, including:

• Kitchen and bathroom remodels

• Roof replacements

• HVAC, plumbing, and electrical updates

• Flooring, windows, and doors

• Energy-efficient upgrades

• Structural repairs or additions

• Accessibility improvements

• Landscaping and curb appeal enhancements

Whether you’re modernizing an older home or restoring a property to its original charm, the 203K Loan gives you the flexibility to dream big and build smart.

Who Qualifies for a 203K Loan?

203K Loans are designed for:

• First-time homebuyers looking to affordably enter the housing market

• Current homeowners wanting to refinance and renovate

• Buyers interested in older or distressed properties

• Borrowers with a credit score of at least 620–640

• Individuals with stable income and employment history

At Tony Fahim Mortgage, we help you determine your eligibility and walk you through every qualification step with clarity and support.

Benefits of a 203K Loan

• One Loan, One Payment – Combines home purchase and renovation into a single mortgage

• Low Down Payment – As low as 3.5% down for qualified borrowers

• Flexible Renovation Options – Covers both cosmetic and structural repairs

• Increased Property Value – Renovations can boost your home’s resale value

• Government-Backed Confidence – Secured by the FHA for added peace of mind

Why Choose Tony Fahim Mortgage?

Navigating a 203K Loan can be complex—but we make it simple. At Tony Fahim Mortgage, we offer:

• Local Expertise in NJ Real Estate & Lending

• Trusted Relationships with 203K-Approved Contractors & Consultants

• Step-by-Step Guidance Through Every Phase

• Fast, Transparent, and Personalized Service

• Backed by the Strength of Nexa Mortgage

Whether you’re purchasing a property in need of love or planning a complete home makeover, we’re here to ensure your renovation dreams become reality—with a mortgage solution that works for you.

Start Your 203K Loan Journey Today

Ready to buy and renovate with confidence? Contact Tony Fahim Mortgage today to learn more about your 203K Loan options, get pre-qualified, and take the first step toward transforming your future home.