|
FHA Standard 203(k) |
FHA Limited 203(k) |
VA Renovation |
Fannie Mae HomeStyle® |
Conventional Cash-Out |
| Minimum Credit Score |
640 |
640 |
620 |
620 |
620 |
| Maximum Loan Amount |
County Limits |
County Limits |
$453,100 |
$453,100 |
$453,100 |
| Maximum Loan-to-Value |
96.5% |
96.5% |
100% |
95% |
80% |
| Loan Category |
Government |
Government |
Government – guaranteed by the VA |
Conventional – Fannie Mae |
Conventional – Fannie Mae |
| Loan Type |
Single Loan Renovation |
Single Loan Renovation |
Single Loan Renovation |
Single Loan Renovation |
Cash-Out Refinance |
| Loan Purpose |
Purchase or Refinance – Expands Home Purchase Choices! |
Purchase or Refinance – Expands Home Purchase Choices! |
Purchase or Refinance – Expands Home Purchase Choices! |
Purchase or Refinance – Expands Home Purchase Choices! |
Refinance |
| Renovation timeframe |
6 months |
6 months |
4 months |
6 months |
N/A |
| Eligible properties |
Primary Residence – Single Family Residence, PUD, FHA approved Condo, 2-4 units & REO |
Primary Residence – Single Family Residence, PUD, FHA approved Condo, 2-4 units & REO |
Primary Residence –
1 or 2 units |
Primary Residence, 2nd Home, Investment Property and condos |
Primary Residence – Single Family Residence, PUD, FHA approved Condo, 2-4 units & REO |
| Down Payment Requirement |
3.5% Down, may be gifted |
3.5% Down, may be gifted |
0% |
5% Minimum Down |
N/A |
| Contingency Reserve |
A minimum of 10% and a maximum of 20% in contingency reserves for repair costs is required.
|
A minimum of 10% and a maximum of 20% in contingency reserves for repair costs is required. |
15-20% based on renovation costs |
10-15% |
N/A |
| Draw limits |
Up to five (5) total draws allowed in a six month period |
No more than one (1) draw is allowed. |
Up to three (3) total draws allowed in a four month period |
N/A |
N/A |
| Allowable Improvements |
Structural alterations and additions, kitchen or bath remodel, replace roof and much more! (No luxury items) |
Kitchen or bath remodel, replace roof, upgrade heating, replace plumbing, windows, doors and much more! (Structural work not allowed) $35,000 cap must include fees.
(No luxury items) |
Cosmetic and minor remodeling. Must be minor and non-structural.
$35,000 cap includes required contingency and re-inspections.
(No luxury items) |
Must be built-in and add value – LUXURY items such as outdoor BBQ & pools allowed! |
N/A;
Home must be safe, sound and structurally secure according to conventional standards prior to closing. |
| Minimum in repairs |
Minimum $5,000 in repairs |
No minimum dollar amount in repairs, Maximum of $35,000 including fees |
No minimum renovation cost; Maximum of $35,000 including fees |
No minimum dollar amount in repairs. Renovation cost is limited to 75% of the “as-completed” value. |
N/A |
| Plan Requirements |
Work Write-Up required |
Work plan provided by borrower required. Work Write-up NOT required |
Work plan provided by borrower required. Work Write-up NOT required |
N/A |
N/A |
| Loan Amount |
Based on the sales price or as-is appraised value + repair amount OR 110% of the “as-completed” value, whichever is less. |
100% of the “subject-to” appraised value. |
The loan amount is based on total LTV derived from lesser of:
· Total acquisition cost including all construction related expenses
· Or from the ‘as completed’ value of the home |
Up to 80% of appraised value |
