AboutJim Root Expertise Real Estate Financing of all types/styles--Government & Quasi-Governmental loan such as FHA & VA; Conventional "Fannie Mae" & "Freddie Mac"-backed Mortgages & all sorts of "Creative Financing" techniques! Credit Underwriting & Property Value & Condition Requirements of standard Home Loan Programs. Purchase Money Mortgages or Refinancing! Gale, shown with me here, has been a licensed Real Estate Agent & Office Administrator & my Research Assistant over the years!
Experience Over 30 years as a "Real Estate Professional," including Real Estate Marketing & Sales, Mortgage Banking & Residential Appraisal businesses.Past certifications as a Mortgage Co. Manager, Underwriter, Staff Review Appraiser, Compliance Inspector & Loan Officer with a nationally known Mortgage Company. 12 of the 30 plus years of experience was with the Dept. of Housing & Urban Development (HUD) as a Homeownership Program Officer, trained & proficient in all aspects of the Real Estate Sales,Appraisal, Inspection & Financing areas.
Organizations Former Member of Nat'l Ass'n of Realtors (NAR)& Mortgage Bankers Ass'n of America.(MBAA) Currently with National Ass'n of Review Appraisers & Mortgage Underwriters.(NARA/MU)
Publications Published in local, regional & national Real Estate industry magazines & newsletter on various Real Estate-related topics.Co-authored numerous Goevernment Manuals, Handbooks & Panphlets on Home Mortgage Programs while with HUD/FHA.
Education/Credentials Associate Degree with emphasis in Real Estate Studies plus:
Over 20 "Special Courses" relating to Real Estate, including Financing, while in Private Sector & with HUD's FHA Homeownership Division.
Bachelors Degree in Mass Communications &
Masters Degree in Education/Teaching.
Awards and Honors Professional Designations include: Certified Resiential Originator (CRO) with MBAA,Registered Mortgage Underwriter (RMU)& Certified Review Appraiser(CRA) with NARA/MU. Past awards include Outstanding Performance Awards for 10 of the 12 years with HUD/FHA & numerous
Real Estate Sales,Appraisal Reporting & Mortgage Loan Origination
awards while in "private practice"
Past/Present Clients Currently Director of a Company that provides Professional Development Seminars & Workshops to Real Estate Agents, Appraisers & Mortgage Lenders & both free(as needed) & fee-paid (sliding scale)consulting & inspection services to the general public.This "Expert" is a "Disinterested Third Party" who will not try to sell you Real Estate, nor Appraise or Inspect your Home, nor attempt to put you into a Mortgage Loan--all questions will be answered with your best interests in mind!
Question Mr. Root
I am a General in St. Louis, MO. I have a potential customer that wishes for me to contract a 203k project. In the past I have dealt with Insurance, FHA, HUD programs. Now I am understanding my requirements to be different. I have found information via Internet, but am not finding the "TERMS" or real "GUIDELINES" of this program. Could you please direct me on acquiring this information.
Thank You
Klein Developments
Answer Hey KRIS--
The Mortgage Lender that will be doing the 203K Loan for your potential Customer is required to have a "K-Loan Borrower" hire an FHA-Approved Rehab Loan Consultant who "handles" all of the
"unique" aspects of an FHA 203K as opposed to the origination, processing, approval and closing a "traditional" FHA-Insured Mortgage.
As the GC in a 203K project, your actions will be those required of any construction job--bids, permits, a contract before the closing of the loan.As I guess you know, the K-Loan that your potential Customer gets will be partly used to pay of the existing loan (if this is a Refi) OR to pay the Seller off (if a Purchase). The rest of the money he/she borrows on the K-Loan goes into a "Repair Escrow," that you draw on as you complete the work.The Consultant has the ability to put together the "Architectural Documents" and FHA's authority to APPROVE the "203K Package" that the FHA-Appraiser will use to determine " Future Value." (That package mut contain a FIXED PRICE contract between the Borrower and the GC (and/or Subs BEFORE the loan can close!)
When the Loan Officer has completed the Borrowers "Credit Package," the Consutant has completed the Consultant's Package" and the FHA Appraisal is in and justifies the loan amount, it's ready to close. Usually takes about 45 days from loan origination to closing.After closing, the Consultant becomes the Draw Inspector.
FHA's TERMS & GUIDELINES are NOT very specific and leave much of the "how to's" up to the Lender, Consultant,Appraisers, etc. Some Lenders are good at these loans, others "suck!"
Same with Consultants. Most of them, by the way, are Home Inspoectors. If you know one or two His who do FHA work, talk to them. If you want to talk to me more about this loan program, I'm at 1-509-220-6886 and on PST.
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This topic answers questions related to purchasing a home, owning a home, home ownership, mortgage education, mortgage applications, and mortgage needs whether buying a first home or refinancing a current loan. Issues related to home ownership, home equity, mortgage education, refinacing options, home improvment finacing, first time home loans, home equity loans, vactation home loans, and mortgages for investment homes are dealt with here also. Though not the primary focus of this topic, Home Equity Lines of Credits (HELOCS), reverse mortgages, and calculating home equity may also be asked. If you do not see your home mortgae, home finacing, or home equity question answered in this area then please ask a question here
