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FHA 203(k) Loan:

Buy and Renovate a Home in Maryland

The FHA 203(k) loan is a powerful mortgage option that allows buyers in Maryland to purchase and renovate a home using a single loan. It's the ideal solution if you're considering a fixer-upper or want to personalize a property before moving in.

Unlike traditional home loans, which only cover the purchase price, a 203(k) loan includes funds for necessary repairs or upgrades—making it easier to turn an outdated or damaged property into your dream home.

What Can the FHA 203(k) Loan Be Used For?

The 203(k) loan covers a wide range of improvements, including:

Roof replacement or repairKitchen and bathroom remodelingHVAC or electrical upgradesFlooring replacementStructural repairsAccessibility improvementsPainting and cosmetic upgrades

Luxury upgrades (like pools or outdoor kitchens) are not eligible, but most common home improvements are.

Limited vs. Standard 203(k)

There are two types of FHA 203(k) loans:

1. Limited 203(k):

Covers repairs and upgrades up to $75,000. Ideal for cosmetic or non-structural work like flooring, paint, new appliances, or fixtures.

2. Standard 203(k):

For larger-scale renovations over $75,000, including structural work, room additions, or foundation repairs. Requires a HUD-approved consultant to oversee the project.

It might be easier to get pre-approved for a mortgage than you ever imagined. We believe in making it as easy as possible for everyone to purchase their own home. Click here now to get started, it only takes a few minutes online.

Who Should Consider a 203(k) Loan in Maryland?

This loan is perfect if you:

Want to buy a fixer-upper and customize itNeed help financing necessary home repairsPrefer a single loan vs. combining purchase + construction financingAre a first-time or repeat buyer looking for affordable housing options

You must plan to live in the home—203(k) loans are for primary residences only.

How It Works

Find a home that needs workGet bids from licensed contractorsWork with your lender to structure the loanClose on the home and renovation funds are held in escrow. Contractor completes the work and is paid through draws.

Explore Other FHA Loan Options

The 203(k) loan is just one part of the FHA program. If you're looking for a move-in-ready home or want to refinance, check out the full list of FHA loan options here:

Return to FHA Loan Overview »

Ready to See If You Qualify?

We're here to help you turn a fixer-upper into your forever home. Whether you're upgrading your current living space or investing in potential, the FHA 203(k) loan can open doors.