| Programs | FHA 203(k) Standard | FHA 203(k) Limited | FNMA HomeStyle® Renovation | FNMA HomeStyle® Refresh | FHLMC CHOICERenovation® | FHLMC CHOICEReno eXPress® | FHLMC GreenCHOICE® | USDA Rehabilitation and Repair (Structural) | USDA Rehabilitation and Repair (Non-Structural) |
|---|---|---|---|---|---|---|---|---|---|
| Types of repairs | • Health and safety, livability • Structural repairs allowed • Luxury items not allowed |
• Health and safety, livability • Structural repairs not allowed • Luxury items not allowed |
• Health and safety, livability • Structural repairs allowed • Luxury items allowed |
• Health and safety, livability • Structural repairs allowed • Luxury items allowed • Natural disaster or environmental hazard repairs • Resiliency or preventative improvements • Energy and water efficiency improvements |
• Health and safety, livability
 • Structural repairs allowed
 • Luxury items allowed |
• Health and safety, livability
 • Structural repairs allowed
 • Luxury items allowed |
• Energy and water efficiency improvements
 • ENERGY STAR® appliances
 • Natural disaster or environmental hazard repairs
 • Resiliency or preventative improvements
 • Radon remediation |
• Health and safety, livability • Structural repairs allowed • Luxury items not allowed |
• Health and safety, livability • Structural repairs not allowed • Luxury items not allowed |
| Minimum repair amount | $5,000 | No minimum | No minimum | No minimum | No minimum | No minimum | No minimum | No minimum | No minimum |
| Maximum repair amount | Total renovation costs are contingent upon the appraised property value | $75,000 in total renovation costs | Purchase: Renovation capped
at 75% of acquisition or after-improved value (whichever is
lower) Refinance: Renovation capped at 75% of after-improved value Manufactured homes: 50% of the "as completed" appraised value |
Renovation of an existing property: Up to 15% of the "as completed" appraised value of the property Payoff of non-PACE secured or unsecured debt that financed energy-related improvements: Up to 15% of the appraised value of the property. The energy-related debt must be paid off in full. Partial payoffs are not permitted Payoff of existing PACE loan: Up to the maximum allowable LTV for the transaction and occupancy type. The PACE loan must be paid off in full. Partial payoffs are not permitted |
Purchase: Renovation
capped at 75% of
acquisition or after-
improved value
(whichever is lower) Refinance: Renovation capped at 75% of after-improved value Manufactured homes: the lesser of $50,000 or 50% of the "as completed" appraised value |
Purchase: • 15% of the lesser of acquisition costs (sales price plus renovation) or "as completed" value for properties located in designated Duty to Serve high-needs areas • 10% of the lesser of acquisition costs (sales price plus renovation) or "as completed" value for properties not in Duty to Serve high-needs areas Refinance: • 15% of the "as completed" value for properties located in designated Duty to Serve high-needs areas • 10% of the "as completed" value for properties not in Duty to Serve high-needs areas |
15% of after- improved value | Total renovation costs are contingent upon the appraised property value | $75,000 in labor and materials |
| Property age | 1-year old | 1-year old | No age restriction | No age restriction | No age restriction | No age restriction | No age restriction | 1-year old | 1-year old |
| Number of contractors allowed | General Contractor | Maximum of 3 contractors | General Contractor | Maximum of 3 contractors | General Contractor if structural repairs, otherwise maximum of 3 contractors | General Contractor if structural repairs, otherwise maximum of 3 contractors | General Contractor if structural repairs, otherwise maximum of 3 contractors | General Contractor | Maximum of 3 contractors |
| Consultant required | Yes | No | No, but a Feasibility Study is required when hard costs exceed $75,000, structural repairs are being performed, or contractor is related to anyone in transaction | No | No, but a Feasibility Study is required when hard costs exceed $75,000, structural repairs are being performed, or contractor is related to anyone in transaction | No | No | Yes | No |
| Do-It Yourself(DIY), or Self-Help | Allowed with limitations. Certain requirements must be met. | Allowed with limitations. Certain requirements must be met. | Allowed with limitations up to 10% of the "as completed" value of the property. Certain requirements must be met | Allowed with limitations up to 10% of the "as completed" value of the property. Certain requirements must be met | Allowed with limitations. Certain requirements must be met. | Allowed with limitations. Certain requirements must be met. | Allowed | Not allowed | Not allowed |
| Loan limits | FHA county loan limits | FHA county loan limits | Conventional loan limits | Conventional loan limits | Conventional loan limits | Conventional loan limits | Conventional loan limits | FHFA loan limits | FHFA loan limits |
| Loan purpose | • Purchase • Rate/term refinance |
• Purchase • Rate/term refinance |
• Purchase • Limited cash-out/term refinance |
• Purchase • Limited cash-out/term refinance |
• Purchase • No cash-out refinance |
• Purchase • No cash-out refinance |
• Purchase • No cash-out refinance |
• Purchase only | • Purchase only |
| Occupancy types | • Owner-occupied only | • Owner-occupied only | • Owner-occupied only • Second homes allowed (1 unit only) • Investment properties allowed (1 unit only) |
• Owner-occupied only • Second homes allowed (1 unit only) • Investment properties allowed (1 unit only) |
• Owner-occupied only • Second homes allowed (1 unit only) • Investment properties allowed (1 unit only) |
• Owner-occupied
only • Second homes allowed (1 unit only) • Investment properties allowed (1 unit only) |
• Owner-occupied
only • Second homes allowed (1 unit only) |
• Owner-occupied only | • Owner-occupied only |
| Units | 1-4 units (owner occupied) | 1-4 units (owner occupied) | • 1-4 units (owner occupied) • 1 unit (second homes and investment properties) |
• 1-4 units (owner occupied) • 1 unit (second homes and investment properties) |
• 1-4 units (owner
occupied) • 1 unit (second homes and investment properties) |
• 1-4 units (owner
occupied) • 1 unit (second homes and investment properties) |
• 1-4 units (owner
occupied) • 1 unit (second homes) |
Single-family only | Single-family only |
| Property types | • Stick built • historical properties • manufactured homes • mixed-use properties • modular homes • PUDs • townhomes • warrantable condos |
• Stick built • historical properties • manufactured homes • mixed-use properties • modular homes • PUDs • townhomes • warrantable condos |
• Stick built • historical properties • manufactured homes • modular homes • PUDs • townhomes • unfinished new construction • warrantable condos |
• Stick built • historical properties • manufactured homes • modular homes • PUDs • townhomes • unfinished new construction • warrantable condos |
• Stick built • historical properties • manufactured homes • modular homes • PUDs • townhomes • unfinished new construction • warrantable condos |
• Stick built • historical properties • manufactured homes • modular homes • PUDs • townhomes • unfinished new construction • warrantable condos |
• Stick built • historical properties • manufactured homes • modular homes • PUDs • townhomes • unfinished new construction • warrantable condos |
• Stick-built homes with or without an ADU • historical properties • modular homes • PUDs • townhomes • Manufactured homes allowed |
• Stick-built homes with or without an ADU • historical properties • modular homes • PUDs • townhomes • Manufactured homes allowed |
| Contingency reserves | 10% of renovation costs and fees, must be increased to 15% if
utilities
are not on/functioning or self-help is
present Contingency reserves may not exceed 20% |
10% of renovation costs and fees, must be increased to 15% if
utilities
are not on/functioning or self-help is
present Contingency reserves may not exceed 20% |
10% of renovation costs and fees, must be increased to 15% if
utilities are
not on/functioning or if DIY is present Contingency reserves may not exceed 15% |
20% |
10% of labor and materials, must be
increased to 15% if
utilities are not
on/functioning or self-
help is present Contingency reserves may not exceed 20% |
10% of labor and materials, must be
increased to 15% if
utilities are not
on/functioning or
self-help is present Contingency reserves may not exceed 20% |
20% of labor and materials | 10% of renovation costs and fees, must be increased to 15% if utilities are not on/functioning | 10% of renovation costs and fees, must be increased to 15% if utilities are not on/functioning |
| Contingency reserves usage | • Health and safety first • Unforeseen repairs or deficiencies • Remaining funds at borrower’s discretion |
• Health and safety first • Unforeseen deficiencies only |
• Health and safety first • Unforeseen repairs or deficiencies • Remaining funds at borrower’s discretion |
Unforeseen necessary or required repairs only |
• Health and safety
first • Unforeseen repairs or deficiencies • Remaining funds at borrower’s discretion |
• Health and safety
first • Unforeseen repairs or deficiencies • Remaining funds at borrower’s discretion |
• Unforeseen necessary or required repairs only | • Health and safety first • Unforeseen repairs or deficiencies • Remaining funds at borrower’s discretion |
• Health and safety first • Unforeseen repairs or deficiencies • Remaining funds at borrower’s discretion |
| Mortgage payment reserves | Up to 12 months PITI reserves allowed if/when home is uninhabitable during renovation | Not allowed | Up to 6 months PITI reserves allowed if/when home is uninhabitable during renovation | Not allowed | Up to 6 months PITI reserves allowed if/when home is uninhabitable during renovation | Up to 6 months PITI reserves allowed if/when home is uninhabitable during renovation | Up to 6 months PITI reserves allowed if/when home is uninhabitable during renovation | Up to 10 months PITI reserves allowed if/when home is uninhabitable during renovation | Not allowed |
| Draw process | • Materials draws allowed in
limited
circumstances (conditions apply) • Up to 5 draws allowed (10% holdback applied to progress draws) • Payments are made after 203(k) Consultant approves the work |
• Up to 50% of labor and materials
may
be disbursed at closing, if requested in
writing from contractor • Remainder of funds disbursed when borrower signs off that work is complete and work has been inspected, if applicable |
• Up to 50% of total renovation costs may
be
disbursed at closing • Number of draws determined by contractor with a max of one draw every 30 days (10% hold back applied to progress draws) • Funds are disbursed after work has been completed and inspected by the appraiser |
• Up to 50% of the total planned renovation costs may be disbursed at closing, including: Architectural Fees, Engineering Fees, Consultant Fee (if applicable), Permit costs, and Draw Management Fee • Number of draws determined by contractor with a max of one draw every 30 days (10% hold back applied to progress draws) • Funds are disbursed after work has been completed and inspected by appraiser |
• Up to 50% of
materials costs may be
disbursed at closing • Number of draws determined by contractor with a max of one draw every 30 days (10% hold back applied to progress draws) • Funds are disbursed after work has been completed and inspected by the appraiser |
• Up to 50% of
materials costs may
be disbursed at
closing • Number of draws determined by contractor with a max of one draw every 30 days (10% hold back applied to progress draws) • Funds are disbursed after work has been completed and inspected by the appraiser |
• No disbursements
at closing allowed • Number of draws determined by contractor with a max of one draw every 30 days (10% holdback applied to progress draws) • Funds are disbursed after work has been completed and inspected by appraiser |
• Up to 10% of labor and materials may
be disbursed at closing • Up to 9 draws allowed (10% holdback applied to progress draws) • Payments are made after Consultant approves the work |
• Up to 50% of labor and materials
may be
disbursed at closing • Remainder of funds disbursed when borrower signs off that work is complete and work has been inspected, if applicable |
| Completion timeline | • Permits must be pulled and work
started
within 30 days of closing • May not cease for any 30 consecutive day period • Must be completed within 12 months |
• Permits must be pulled and work
started
within 30 days of closing • May not cease for any 30 consecutive day period • Must be completed within 9 months |
• Permits must be pulled and work
started
within 30 days of closing • May not cease for any 30 consecutive day period • Must be completed within 12 months |
• Permits must be pulled and work started within 30 days of closing • May not cease for any 30 consecutive day period • Must be completed within 180 days |
• Permits must be
pulled and work
started within 30 days
of closing • May not cease for any 30 consecutive day period • Must be completed within 12 months |
• Permits must be
pulled and work
started within 30
days of closing • May not cease for any 30 consecutive day period • Must be completed within 180 days |
• Permits must be
pulled and work
started within 30
days of closing • May not cease for any 30 consecutive day period • Must be completed within 180 days |
• Permits must be pulled and work
started within 30 days of closing • May not cease for any 30 consecutive day period • Must be completed within 10 months |
• Permits must be pulled and work
started within 30 days of closing • May not cease for any 30 consecutive day period • Must be completed within 10 months |
| Allowed in combination with... | • $100 Down HUD REO • Good Neighbor Next Door • Energy Efficient Mortgages • Down Payment Assistance |
• $100 Down HUD REO • Good Neighbor Next Door • Energy Efficient Mortgages • Down Payment Assistance |
• High balance • HomeReady® • Down Payment Assistance |
• High balance • HomeReady® • Down Payment Assistance |
• GreenCHOICE®
Mortgages • Super conforming mortgages • Home Possible® • HomeOne® • HFA Advantage® |
• GreenCHOICE®
Mortgages • Super conforming mortgages • Home Possible® • HomeOne® • HFA Advantage® |
• CHOICERenovation®
Mortgages • CHOICEReno eXPress Mortgages • Super conforming mortgages • Home Possible® • HomeOne® • HFA Advantage® |
• Down Payment Assistance | • Down Payment Assistance |
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