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When Julius McLaughlin’s online home search led him to a Greensboro townhouse, he knew something about the listing wasn’t quite right.

The price was too good to be true — it was about $20,000 less than other properties in the same subdivision off South Holden Road.

Further investigation revealed that the two-bedroom, 2 1/2-bathroom home had a few problems. McLaughlin, 33, said it was well-kept on the outside. Inside, however, it needed new carpeting, a new furnace and updated appliances. There was some water damage. The kitchen cabinets were a little shabby. Fresh paint was a must.

But the two-story home also had a fireplace, a closed-in patio with a storage room and plenty of space at approximately 1,300 square feet.

And after checking out 15 or 20 houses, McLaughlin decided he’d found a neighborhood and a home he could live in. “I can make this work,” he recalled thinking.

He also had access to a financing plan that would make it possible for him to buy his first home and get the necessary repairs without a lot of hassle.

The Federal Housing Administration’s 203(k) loan program allows a borrower to get just one loan to finance both the purchase and the rehabilitation of a property. The Department of Housing and Urban Development-backed program simplifies a process that typically requires separate financing for the home and repairs.

McLaughlin, who obtained his loan through Freedom Mortgage, had heard about the 203(k) program from his father, Julius K. McLaughlin, a Realtor-broker with D&G Realty in Greensboro.

The younger McLaughlin received approval for the loan he needed to buy the home, which was a foreclosure property, as well as replace the carpet, furnace and appliances, and repair the ceiling. He decided to cover a number of other improvements on his own over time. He had professionals do the major work, such as carpet installation and appliance replacement, after closing on the property Feb. 13.

McLaughlin, a customer service project coordinator with American Valve in Greensboro, moved in March 11. He’s taking his time settling in, making his way through numerous projects — painting, cabinet replacement, upgrading some fixtures and buying furniture — with help from friends and family. He’s also had a security system installed.

“There’s still a lot of work to get done,” he said. “I haven’t even done the window trim or even the baseboards.” But he’s already put in new blinds, painted walls and removed cabinets and fixtures.

His home improvement skills have come in handy. “I actually learned it from my dad and my uncles. ... They were like, in hard times, you always can make money in home improvement.”

McLaughlin said he feels fortunate to be a homeowner, particularly in light of current economic challenges. Preparation was critical to his success. When he decided he wanted to buy a home, he checked his credit reports, addressed inconsistencies he found, saved some money and got ready to make the investment. The process took time, something he suggests other prospective homeowners keep in mind.

“Be patient and make sure of your credit score,” he said. “My first thing was my credit score. After that everything fell into place.”

He also recommends putting money away, but remaining realistic about options.

“Find something in your price range. Don’t overdo it.”

Contact Heather L. Modlin at 373-7144 or heather.modlin@news-record.com.