About Lehigh County, PA

203K Program in PA- Traditional & Streamline

The FHA 203K loan program has become quite popular in Southeastern PA, particularly around Philadelphia, Easton, Reading & Lancaster. The FHA 203K loan allows homebuyers to get financing for the purchase and renovation of a home with the convenience of one loan and one mortgage payment.

Read more about the Benefits of the 203K program.

As a Home Inspector and 203K Consultant in PA, I sometimes get calls asking about the 203K Program in PA. I get questions like-

"What's the difference between the traditional and streamline 203K?"

"Do I need a 203K Consultant if I get the Streamline 203K?"

The Streamline 203K came along in 2005. HUD came up with this new FHA-insured mortgage program and they called it the “Streamline (K)” Limited Repair Program. This loan program allows homebuyers (and current homeowners who are refinancing) to borrow up to an additional $35,000 into their mortgage to improve or upgrade their home.

Traditional vs. Streamline 203K- so what's the difference?

With A Streamline 203k, there is no minimum borrowing threshold unlike a full or "traditional" 203K, but there is a maximum of $35,000, which must include a 10% contingency fund. Renovations over $35,000 will require a traditional 203K. Also, if you are doing foundation work, adding square footage to the property, making structural repairs, and other renovations along those lines, you will need a traditional 203K. It's best to speak with a 203K loan specialist about your plans and see which program is right for you!

Depending on your lender's requirement, you typically aren't required to use a 203k consultant and general contractor. I still have clients that contact me for a Feasibility Study. Some clients also contact me for a Home Inspection to make sure they understand the home's condition and aren't missing any important repairs. Of course, a home inspection or study is not required, but it might still be a good idea to protect yourself.

There are other differences between the traditional and streamline 203K program in PA and it's best to contact a 203k loan specialist to address your questions and get you qualified.

Once you've decided to proceed with getting 203k financing, contact us and schedule a home inspection or 203k consultation!

David Artigliere with ARTI Home Inspections LLC is a 203K Consultant and Home Inspector in Reading, Philadelphia, Easton, Lancaster & Surrounding areas of Southeastern PA.

He can be reached 7 days a week at 610-220-1907 or by visiting www.203kpa.com.

Friends, a small, brown pony with markings was found in the Rte. 309 area of the Lehigh Valley, Pennsylvania about a week ago. We are searching for it's rightful owner. If anyone knows of anyone missing such a creature, PLEASE get them in touch with me ASAP. It is hard to believe no one is coming forward to claim this pony. However, with the times the way they are, one never knows what is the true story behind this pony.

Friends, please repost to the area. We do need to find this pony's owner!

UPADATE: On 3/1/2012 the pony and it's owners had been united. Happy Ending.

Looking to purchase a home in Lehigh County, Pennsylvania?

What portions of Lehigh County are eligible for USDA Financing?

The main area in Lehigh County that is not eligible for USDA financing is in Allentown and the metro area running East through Bethlehem. Shortly outside of this area, the majority of Lehigh County is USDA Eligible.

USDA Eligible Areas in Lehigh County include...

• Coopersburg
• Alburtis
• Fogelsville
• Schnecksville
• Lanark
• Slatington
• Jacksonville
• Meyersville
• Newside
• Germansville
• New Tripoli
• Lynnport
• Wanamakers
• Steinsville
• New Smithville
• Slateville
• Steinsville
• any obvious rural locations

As always, if you want to find out if a specific property is eligible for a USDA Mortgage in Lehigh County, simply type in the address on the USDA Eligibility Map below....

USDA Property Eligibilty Map

What are the USDA Mortgage Income Limits for Lehigh County?

Household Size: 1-4 Family Members 5 or more Family Members

Maximum Adjusted Income $83,150 $109,750

If at first glance, it appears your household income exceeds the above limits, it is worth checking the USDA Income Calculator on the USDA website (link below). The USDA allows for several deductions which may allow your Household Income to fit within their Maximum Adjusted Income Guidelines.

USDA Income Eligibility Worksheet

Ok, the Property is in a USDA Eligible Area and your Household Income is within the USDA Income Limits, now what?

Like all mortgages, USDA Mortgages do require an applicant to qualify based on recent credit history. USDA credit requirements are some of the most flexible of any mortgage program available. More detailed information about USDA Mortgage Credit Requirements can be found with the link below...

USDA Credit Requirements

For buyers looking to purchase a home in Lehigh County Pennsylvania, the USDA Rural Development Mortgage is definitely worth a look. Feel free to contact me with any further questions about the program.