FHA 203(k) Renovation Loan Estimator

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Reno Calculators

FHA 203(k) Renovation Loan Estimator

An educational estimate of your FHA 203(k) loan amount, upfront MIP, monthly payment, and loan-to-after-improved-value ratio for Standard or Limited deals. Not a final or guaranteed FHA maximum-mortgage calculation.

Loan Parameters

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$
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FHA County Loan Limit

Optional. Enter the applicable FHA loan limit for the property's county to cap the base mortgage correctly.

1-unit property

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FHA loan limits vary by county or Metropolitan Statistical Area, property unit count and calendar year. Use the official HUD FHA Mortgage Limits lookup tool to find the applicable limit for the property's location. This estimator uses the limit you enter for educational purposes only. The applicable property location, FHA case-number timing, property type and current HUD requirements determine the actual FHA loan limit.

Results

Purchase + Renovation Cost
$210,000
Total acquisition + rehab cost before FHA LTV factor
Minimum Borrower Investment (3.5%)
$7,350
Closing costs, prepaids, reserves and other required funds may also apply
Calculated FHA 203(k) Base Mortgage
$202,650
96.5% of purchase + renovation cost, before county limit cap
FHA Base Mortgage
$202,650
Mortgage amount before financed UFMIP (96.5% of purchase + renovation cost)
Upfront MIP (UFMIP)
$3,546
1.75% of allowed FHA base mortgage, typically financed into the loan
Total Mortgage with Financed UFMIP
$206,196
Allowed FHA base mortgage + financed UFMIP
Estimated Monthly FHA MIP
$93
Annual MIP rate ÷ 12; duration depends on LTV and loan term
Estimated Monthly P&I
$1,442
Principal & interest on total mortgage with financed UFMIP
Total Mortgage ÷ After-Improved Value
74.98%
Informational ratio only. Compares total mortgage (incl. financed UFMIP) with entered after-improved value. Not the sole FHA maximum-mortgage calculation.
Equity at Completion
$68,804
After-improved value minus total mortgage (estimated)
Estimated Monthly P&I + FHA MIP
$1,535
P&I $1,442 + MIP $93
Excludes property taxes, homeowners insurance, HOA dues and other applicable housing expenses.
Note on after-improved value: For eligible non-condominium 203(k) transactions, FHA's maximum-mortgage calculation may include a comparison involving 110% of the after-improved value, subject to the full FHA maximum-mortgage calculation, applicable loan limits and other requirements. This is one component of FHA's framework — it does not mean FHA finances 110% of the home's future value.
Important — Educational Estimate OnlyThis calculator is an educational estimate only. Actual FHA 203(k) maximum-mortgage calculations can depend on additional factors including, where applicable:
  • Adjusted as-is value
  • Purchase price
  • Eligible rehabilitation costs
  • After-improved value
  • FHA maximum LTV calculations
  • FHA county loan limits
  • Property type
  • Financeable 203(k) fees
  • Contingency reserves
  • Consultant fees
  • Mortgage-payment reserves
  • Required borrower investment
  • Upfront and annual mortgage insurance
  • Lender overlays
  • Other FHA requirements

The final allowable mortgage must be calculated under current HUD/FHA 203(k) guidelines and lender requirements.

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Frequently Asked Questions

What is the difference between FHA 203(k) Standard and Limited?

The FHA 203(k) Limited (formerly Streamline) caps rehabilitation costs at $75,000 and does not allow structural work. It's designed for cosmetic and non-structural repairs. The Standard 203(k) has no renovation cap (other than FHA loan limits) and allows structural work, additions, and major system replacements. It requires a HUD-approved 203(k) Consultant.

What is UFMIP on an FHA loan?

UFMIP stands for Upfront Mortgage Insurance Premium. FHA charges 1.75% of the base loan amount at closing, which is typically financed into the loan. This is separate from the annual MIP (mortgage insurance premium) that is paid monthly.

How long do I pay MIP on an FHA 203(k) loan?

For loans with less than 10% down, MIP is required for the life of the loan. For loans with 10% or more down, MIP can be removed after 11 years. This is a key difference from conventional loans, where PMI can be removed once you reach 20% equity.

Can I use FHA 203(k) for an investment property?

No. FHA 203(k) is for owner-occupied primary residences only. If you're financing a renovation on an investment property, look at HomeStyle Renovation, CHOICERenovation, or hard money/bridge financing.

Where do I find the FHA loan limit for my county?

Use the official HUD FHA Mortgage Limits lookup tool at entp.hud.gov. Enter your state and county to find the applicable forward-mortgage limit for your property unit count and loan-limit year.

Educational disclaimer: All calculators on this page are provided for informational and educational purposes only. Results are estimates based on the inputs you provide and standard financial formulas. They do not constitute a loan commitment, pre-approval, or financial advice. Actual loan terms, rates, fees, and eligibility depend on your specific situation, lender guidelines, and market conditions at the time of application. Consult a licensed mortgage professional before making any financial decisions.