FHA 203(k) Calculator
This FHA 203(k) calculator combines purchase and renovation into a single Florida FHA loan and shows the resulting payment.
By Onias Derilus, Mortgage Capital · NMLS# 1859012 · Last Updated: June 2026
The loan is based on the lesser of purchase plus rehab, or 110% of the after-improved value. Upfront MIP of 1.75% is financed; annual MIP is included monthly. Estimate only.
An FHA 203(k) rolls the purchase and the renovation into a single mortgage with one closing, so you do not need separate acquisition and construction financing.
The loan is sized on the lesser of purchase plus rehab or 110% of the after-improved value. That ceiling is what stops a renovation budget from outrunning what the finished home will be worth.
These figures are estimates. For neutral, official guidance on mortgage costs and what lenders can charge, see the CFPB's Owning a Home guide.
How to Use This Calculator
- 1
Enter the purchase price and your renovation budget.
- 2
Add the contingency reserve your lender requires — commonly 10% to 20% depending on the scope.
- 3
Enter the after-improved appraised value.
- 4
Set the down payment, rate, taxes and insurance to see the resulting payment.
The Formula & Assumptions
Rehab total = budget ×
(1 + contingency%)
Basis = lesser of
(price + rehab total)
and (after value × 1.10)
Loan = basis × (1 − down%)
+ upfront MIP
There are two versions. The Limited 203(k) covers cosmetic work up to a capped amount with no structural changes; the Standard 203(k) handles structural work and requires a HUD consultant to oversee draws.
Funds are held in escrow and released as work is completed and inspected. Contractors must be approved and the work has a completion deadline, which makes contractor selection the single biggest execution risk.
FHA mortgage insurance applies as it does on any FHA loan: 1.75% up front, usually financed, plus an annual premium collected monthly. On most current FHA loans with minimum down payment that annual premium stays for the life of the loan.
Frequently Asked Questions
What can a 203(k) pay for?
Structural repairs, roofing, HVAC, plumbing, electrical, kitchens and baths, accessibility work, and energy improvements. It cannot fund luxury additions such as a new pool, though repairing an existing one is generally allowed.
What is the difference between Limited and Standard?
Limited covers non-structural work up to a capped amount with lighter oversight. Standard has no such cap, permits structural changes, and requires a HUD consultant to write the work write-up and approve draws.
How much down payment do I need?
The FHA minimum of 3.5% with qualifying credit, calculated on the total cost basis rather than just the purchase price. That makes it one of the lowest-cash paths into a home needing work.
Can I do the work myself?
Generally no. Lenders require licensed contractors with approved bids, and self-help is permitted only in narrow circumstances with documented ability. In Florida, permitting requirements make a licensed contractor the practical route regardless.
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Rates are illustrative only. APR and payments vary by credit score, loan amount, and market conditions. Subject to credit approval. Not a commitment to lend. NMLS# 1859012. Equal Housing Lender.