What is a HUD Consultant?

August 10, 2017

They are the overseer of the entire construction process when it comes to 203(k) loans.  They insure the renovation repairs requested and the property itself meet HUD's minimum property standards. They provide the initial assessment of the projects feasibility and have the final sign off when the project is complete.    

 

All HUD consultants are on approved roster found here

 

You'll choose your HUD consultant prior to ever making an offer on a property. Once you identify a property that you like, one of the first steps is getting the HUD consultant out to the property to be sure the project will meet your goals. 

When they are on site, they will examine the property and provide an assessment about the project’s feasibility under the 203(k) loan requirements.  If the consultant determines the project feasible, a formal agreement is signed and the buyer moves forward with the project. 

 

The HUD consultant also reviews the contractors bid to make sure that it is in line with what he expects.

 

Once the loan closes, your HUD consultant is back in charge.  He or she will oversee the progress being made on the property and will let the lender know when draws are necessary in order to pay the contractors for their work. 

 

The HUD consultant plays a valuable role in making sure that you are administering appropriate draws to your contractor and making sure that your contractors are working on schedule. HUD Consultants are required on Standard 203(k) loans but people typically request that they are hired for Limited 203(k) loans as well.

 

 

Please reload

Our Recent Posts

March 28, 2018

Please reload

Archive

Please reload

Tags

Please reload