Finance
A NC homebuyer with limited cash uses an 'FHA 203(k)' loan to purchase a fixer-upper. This loan product allows buyers to:
ADefer their first payment for 6 months
BFinance the purchase price plus rehabilitation costs in a single loan✓ Correct
CAvoid all closing costs
DPurchase investment properties with no down payment
Explanation
The FHA 203(k) program allows buyers to roll the cost of eligible home improvements into their purchase mortgage, financing both the acquisition and renovation in one loan. This makes it easier to purchase and rehabilitate distressed properties.
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