FHA Limited 203(k) Loan
The FHA Limited 203(k) Loan is one of FHA's specialized options. Here is the plain-English rundown for 2026.
How it works
The Limited 203(k) covers up to $35,000 in non-structural repairs (paint, flooring, appliances, roofing) with less paperwork than the standard version — ideal for cosmetic updates.
Key things to know
- Minimum 3.5% down with a 580+ credit score (10% down for 500-579).
- Loan amounts are capped by your county FHA limit — $541,287 floor up to $1,249,125 in high-cost areas.
- FHA mortgage insurance applies; budget the 1.75% upfront premium plus annual MIP.
- The home must be your primary residence and meet FHA's minimum property standards.
Program rules are set by HUD and updated periodically. Join the free notification program to hear about changes to the FHA Limited 203(k) Loan first.
Your Free FHA Early-Warning System
Rates move daily and FHA rules change often. We will tell you the moment something shifts.
Free to join. Msg & data rates may apply; reply STOP to opt out. See our Terms & Privacy Policy.
Frequently Asked Questions
- What is the FHA Limited 203(k) Loan?
- The Limited 203(k) covers up to $35,000 in non-structural repairs (paint, flooring, appliances, roofing) with less paperwork than the standard version — ideal for cosmetic updates.
- What credit score and down payment are required?
- Like other FHA loans, 580+ qualifies for 3.5% down; 500-579 requires 10% down.