This Bulletin replaces Bulletin 14-09 issued February 10, 2014 in its entirety.
REMN Wholesale is pleased to announce the HomeStyle program is being enhanced to include 3-4 unit primary residence and 1-unit investment properties. These enhancements are effective immediately. Additionally, REMN Wholesale is providing further clarification of the HomeStyle requirements.
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 – 4 unit primary residence owner-occupied
– 1-unit second home
– 1-unit investment
- Conforming and high balance loan amounts.
- 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.
- DU “Approve/Eligible” Finding required; no manual underwrites.
- Minimum credit score per DU
- Subordinate financing eligible
- Fixed rate only
- Maximum LTV/CLTV per the HomeStyle Renovation Program matrix
- Borrowers who own more than 4 properties (financed or owned free and clear) are ineligible regardless of the occupancy type.
Fees for the HomeStyle Renovation program must be listed on the GFE as follows:
|Draw Inspections ($200 per draw; enter total amount of all draws)||
|HUD Consultant Fee||
|Title Update ($100.00)||
|Architect/Engineering Fee/Permit Fees (if applicable)||
The HomeStyle program guidelines have been updated with this information and posted on the REMN Wholesale website at www.remnwholesale.com.
If you have any questions, please contact your Account Executive.