A 203k loan allows homeowners to finance renovations or repairs to their existing home through their mortgage. Also referred to as a rehab loan, a 203k allows you to roll the cost of upgrades and renovations into your mortgage, rather than paying out of pocket. Here are some top renovation projects that you can finance with a 203k loan:

Kitchen Remodel

One of the most popular home renovation projects is a kitchen remodel, which can be very expensive. A 203k lets you finance a complete kitchen remodel, including replacing the flooring, cabinets, countertops, sinks, appliances, lighting fixtures, and more. Whether you want to do a modern or rustic style kitchen, expand the space, or just update old finishes, a 203k makes this pricey but high-ROI project affordable.

Bathroom Remodel

Similar to a kitchen, bathrooms can require a lot of expensive updates like tiling, fixtures, plumbing, and lighting. Many homeowners dream of spa-like master bathrooms or secondary bathrooms with modern updates. A 203k allows you to finance bathroom additions, expansions, and full remodels so you can have the bathroom of your dreams.

Roof Replacement

A new roof is an essential update that can cost over $10,000. As a necessary structural repair, a new roof is eligible for 203k financing. If your roof is old, damaged, or improperly installed, you can get it replaced without paying out of pocket.

Structural Repairs

Structural issues like foundation cracks or settling can be extremely expensive to fix. Repairing structural damage is eligible for 203k financing. Whether you need foundation work, bearing walls fixed, or framing repairs, a 203k loan covers these major structural projects.

HVAC System

Heating and cooling systems that are old, inefficient, or faulty can be replaced with a 203k loan. Installing new energy efficient HVAC systems will be more comfortable and save you money on energy bills.

Insulation Upgrade

Poor insulation leads to high heating and cooling costs. A 203k lets you finance insulation upgrades in the floors, walls, attic, and more. This will help regulate indoor temperatures and reduce energy costs.

The great thing about a 203k loan is that you can bundle multiple renovations into one mortgage. If you want to remodel your kitchen and bathrooms, replace the roof, and upgrade insulation, a 203k lets you finance all of those projects. Consult with a lender to determine the maximum loan amount you qualify for and get started on home renovations!