REMN Wholesale is pleased to announce that effective Monday, February 10, 2014 we are offering Fannie Mae’s HomeStyle Renovation program.
The HomeStyle program allows borrowers to purchase or refinance a property and include the repair/ renovation costs in the loan with a single loan closing. Renovations must begin within 30 days of loan closing and be completed within 180 days.
Highlights of HomeStyle Renovation
- Up to 50% of the as-completed value may be used for renovation/repair funds. Renovations/repairs must add value to the property and be permanently affixed.
- Purchase and rate/term refinance transaction
- 1-2 unit primary residence owner-occupied and 1-unit second home.
- Conforming and high balance loan amounts. High balance loan amounts limited to 1-unit properties only.
- SFR/PUDs (attached/detached) and condominiums (written approval from the HOA for renovations/repairs is required for condominiums)
- Unfinished model home/new construction may be eligible on a case-by-case basis.
- Minimum credit score per DU
- Maximum LTV/CLTV:
– 95% LTV/CLTV for 1-unit primary residence conforming loan amount and 90% LTV/CLTV for high balance
– 85% LTV/CLTV for 2-unit properties both conforming and high balance
– 90% LTV/CLTV for second home conforming loan amount and 65% LTV/CLTV for high balance
NOTE: Condominiums limited to the lesser of 80% LTV/CLTV or program maximum. Maximum 105% CLTV if using a Community Second
- Fixed rate only
Fees for the HomeStyle Renovation program must be listed on the GFE as follows:
| Fee Type |
HUD Line |
GFE Block |
| Draw Inspections ($200 per draw; enter total amount of all draws) |
811 |
Block 3 |
| HUD Consultant Fee |
1306 |
Block 6 |
| Title Update ($100.00) |
1114 |
Block 4 |
| Architect/Engineering Fee/Permit Fees (if applicable) |
1300 |
Block 6 |
The HomeStyle program guidelines and all required forms have been posted on the REMN Wholesale website at www.remnwholesale.com.
If you have any questions, please contact your Account Executive.
