FHA 

FHA 203k loan program allows borrowers to finance the purchase or refinance of an existing home and complete major renovations, rehabilitation or improvements, including structural repairs.

There are two types of 203(k) loans: a streamlined version and a regular version.

• The streamlined 203(k) program is meant for homes that don't need structural repairs. These loans are capped at a maximum of $35,000 in repairs. No minimum amount of repairs must be made.

• Regular 203(k) loans are given for homes requiring more complicated construction projects like structural changes, room additions, or renovations that would prohibit you from living in the house while work is done. This will also include an architectural drawings and inspections.

 

Here’s What You Can Do

• Purchase a home and the land where the dwelling is located and remodel it

• Purchase a home originally on another site, move it onto a new foundation on the newly mortgaged property and remodel it

• Refinance an existing mortgage and repair or remodel it

Conventional 

The HomeStyle Renovation mortgage enables a borrower to obtain a purchase transaction mortgage or a limited cash-out refinance mortgage and receive funds to cover the costs of repairs, remodeling, renovations or energy efficient improvements to the property.

 

 

• Purchase or refinance & remodel

• 95% finanancing for for primary, single-family residences (90% for second homes)

• 3% seller contribution allowed

• Cosmetic and structural renovations allowed

• Allowable improvements can include landscaping, appliances, swimming pools and more