how does homeowners work with a 203k to purchase?
lets face it, my house budget is very much at the "nothing is move in ready" level. the one house that was move in ready at my budget went 25k over asking. everything im looking at in my budget is a fixer upper, but my partner is also a contractor so...fixer upper is not the worst thing on earth. but one of the houses on our radar was a hoarder home, that will need the kitchen and bathroom completely redone and the flooring and drywall to get stripped to the studs. I was wondering how homeowners works with that since like, we're obviously going to be doing major renovations if we go with that option.
like, is the premium based off the sale price, or off what the expected valuation will be after reno? What if there is something that is currrently making it "uninsurable" such as electrical issues that we need to remediate anyway?