Renovation Loans for East Cobb Fixers
November 6, 2025
November 6, 2025
Eyeing a dated East Cobb home with good bones, but worried about how to pay for the updates? You are not alone. Many Cobb County homes built from the 1950s to the 1980s need electrical, HVAC, roof, and kitchen or bath improvements. In this guide, you will learn how renovation loans like FHA 203(k) and Fannie Mae HomeStyle work, what projects they can cover, how appraisals and draw schedules run, and what to expect with Cobb County permits. Let’s dive in.
Use a Limited 203(k) for smaller, non-structural projects such as kitchens, baths, flooring, paint, and systems repairs within program caps. You must occupy the home as your primary residence, and the repairs roll into one FHA-insured mortgage. No structural changes are allowed, and work must meet FHA standards.
Choose the Standard 203(k) for larger or structural projects, additions, or site work. A HUD-approved 203(k) consultant prepares the work write-up, inspects, and signs off on draws. You still occupy the property as a primary residence, and the down payment follows FHA rules. The added oversight can help protect you on complex renovations.
HomeStyle is a conventional option that can finance cosmetic and structural improvements in a single loan. It has more flexibility on eligible items than FHA, and may be available for primary residences, second homes, and some investment properties. Conventional underwriting applies, and lenders will require contractor bids, a work schedule, and an inspection and disbursement plan.
Community banks and credit unions sometimes offer construction-to-perm or portfolio renovation loans with their own underwriting and draw procedures. Some borrowers also consider HELOCs, home equity loans, or a cash-out refinance once they have equity. Compare cost, speed, and flexibility to see what fits your plan.
Most programs cover major systems like HVAC, electrical, and plumbing upgrades to current code. You can usually finance cosmetic updates such as kitchens, baths, flooring, and paint. Accessibility and energy-efficiency improvements are commonly eligible. Lead-based paint or asbestos remediation is generally allowed, but it requires licensed abatement contractors and strict documentation.
Luxury items have limits, especially under FHA. Work must follow local building codes and permit requirements, and permits are typically needed before or during draws. You cannot use FHA 203(k) on an investment property, and changing the number of units has special rules that may not be allowed under certain programs.
These are single-close loans that combine the purchase or refinance with the rehab budget. The lender bases the approval on the projected as-completed value after improvements. FHA 203(k) follows FHA down payment minimums, typically with FHA mortgage insurance. HomeStyle follows conventional rules, and private mortgage insurance may apply above 80 percent loan-to-value. Most lenders require a contingency reserve of about 10 to 20 percent of the rehab budget to cover surprises.
Lenders rely on two values: the as-is value and the as-completed value. For 203(k) and HomeStyle, the appraiser uses contractor bids and the approved scope to estimate the after-renovation value. Many lenders order the appraisal once bids are in. A final inspection is usually required for draw releases and to confirm completion.
At closing, a small portion of rehab funds may be released to start work. Contractors then request progress draws based on a preset schedule, with inspections at each phase. Standard 203(k) requires a HUD 203(k) consultant to approve draws. Limited 203(k) and HomeStyle use lender or third-party inspectors. Projects can range from a few weeks for cosmetic work to several months for structural scopes. Many programs require completion within a set window, often around 6 to 12 months.
Structural work, electrical, major plumbing, HVAC, roofing, and many exterior projects require permits from Cobb County Community Development and Building Inspections. Lenders typically require final permit sign-offs before releasing the last draw. Confirm permit needs early and build county review timelines into your schedule.
Work with licensed and insured contractors who know Cobb County permitting and older Georgia homes. Ask for itemized bids by trade and a schedule that maps to draw milestones. For a Standard 203(k), you will also need a HUD 203(k) consultant. Plan for consultant fees and coordination in your budget and timeline.
Renovation loans take longer than standard mortgages. Expect about 45 to 75 days from application to closing depending on lender speed and project complexity. Lenders will verify licenses, itemized bids, permit plans, and consultant reports. Change orders can delay draws and completion, so communicate quickly with your lender and consultant when issues arise.
You get an advisor who understands both value and renovation timelines. With appraisal-level valuation experience, you can assess as-is pricing, as-completed potential, and whether your scope supports the projected value the lender needs. We help you structure offers with realistic timelines for bids, permits, and closing, and align your contract terms with the draw and inspection process your lender will require. That way, you can pursue the right fixer with confidence.
If you are considering buying a home that needs work or planning updates to your current East Cobb property, we can help you map the scope, value potential, and timing so you move forward with clarity. Have a home to sell before you renovate or buy your next place? Start with our team’s signature service: Request a Free Home Valuation.
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