FHA 203(k) loan makes it possible to purchase or refinance a home that needs significant care and improvement. The expenses associated with these efforts are added to the total that you elect to borrow and can be paid off over a period of years as you pay off the monthly premiums associated with your mortgage as well. Noting this, FHA 203(k) loan offerings can provide a cost-effective way to pay for many home improvements (especially large home improvements). As with any mortgage though, you’ll need to qualify to obtain one based on your income, credit history, credit score, debt-to-income ratio and other factors.