FHA 203k

The Standard FHA 203k allows for home buyers and homeowners to renovate their house while financing it into their mortgage.

203k Limited

The FHA Limited 203k is designed for minor renovations through either new home purchase or refinance.

Homestyle

The Fannie Mae HomeStyle is a renovation loan that can be used on new home purchase as well as refinance.

Click on each photo to toggle between 'Before & After.'

DON'T KNOW WHICH RENOVATION LOAN IS BEST FOR YOU?

Review the matrix below to help you decide, or contact our renovation department.

FHA 203k Standard FHA 203k Limited Fannie Mae HomeStyle
Minimum Credit Score 600 600 620
Debt-to-income ratio 55% 55% 50%
HUD Consultant Required Not Required Required if costs exceed $35k or there are structural repairs
Amount of Draws Up to 5 draws 2 Up to 5 draws
Ineligible improvements Luxury items. These include and are not limited to Major rehabilitation or remodeling, New construction, repair of structural damage, repairs requiring detailed drawing or architectural exhibits, landscaping or similar site amenity improvements, any repair or improvement requiring a work schedule longer than 6 months, rehab activities that require more than 2 payments per specialized contractor, Luxury items. These include and are not limited to Anything that is not permanently attached to the property
Minumum Cost Of Repairs $5,000 No minimum No minimum
Maximum Cost of Repairs Unlimited $35,000 Federal Housing Financing Agency (FHFA) Loan Limits
Down payment required 3.50% 3.50% 5% for 1 unit owner-occupied. 15% for 2 unit owner-occupied. 25% for 3-4 units owner occupied. 10% for 2nd Home; 15% for investment purchase. 25% investor refinance.
Eligible Properties 1-to-4 family dwellings, FHA condos, manufactured homes built after 1978, mixed use 1-to-4 family dwellings, FHA condos, manufactured homes built after 1978, mixed use Attached and detached single family dwelings and planned unit developments, and Fannie Mae approved condo
Notes Must live in property for 1 full year after renovation completion Must live in property for 1 full year after renovation completion. Property must be habitable throughout the entire renovation.  
Occupancy Primary Only Primary Only Primary home with 1-4 Unit, Second home with 1 unit, and investment property with 1 unit.

I'm interested, now what?

To begin the rehab loan process, your first step is to fill out the renovation form to the right. One of our dedicated staff members from the renovation division will reach out to your shortly to begin discussing your options. Even if you just have a few questions about the possibility of using a renovation mortgage, we would love to hear from you!

Our Renovation Department can help you with:

  • Education. We understand that rehab mortgages seem very complex. That is why we created a division solely focused on the underwriting, processing, and the draw administration of these loans.
  • Time. Believe it or not, a renovation loan does not take much longer to close than a traditional mortgage. Since our team only does renovation loans, we know how to keep the machine running smoothly and efficiently. We want to get you in your newly renovated home as soon as possible!
  • Advice. This process can seem intimidating, so we encourage questions! Please feel free to ask us anything from the renovation time frame, questions about consultants, the forms that we require from you, and anything else you can think of.

Begin the renovation loan process now!