Home Inspection Pros Inc: We Are Your HomeStyle® Consultant

HomeStyle® Renovation Loan

Another loan option is the HomeStyle® renovation loan, offered by Fannie Mae. There are a few ways a Homestyle® loan differs from an FHA 203(k) loan.

With a Homestyle®  renovation loan from Fannie Mae:

  • Loan limits are typical higher
  • Investors are allowed in certain properties
  • Second homes may qualify
  • Luxury items are allowed
  • No minimum repairs are required

Below is a table showing a few more of the differences between 203(k) and HomeStyle® loans side-by-side. Talk to your lender to see which loan best suits your situation.

FHA 203(k) HomeStyle® Renovation Loan
Loan Type Purchase/Refinance Purchase/Refinance
Property Type Most residential properties Most residential properties
1-4 Unit Primary Residence Yes Yes
1-Unit Investment Properties No Yes
Minimum Down Payment 3.5% of total acquisition (sale price + renovation cost) 5 to 20% depending on lender requirements and property
Mortgage Insurance (MI) Required Yes Down payments less than 20%
Maximum Renovation Amounts No maximum, but mortgage amount is within FHA guidelines 50% of the as-completed value

Home Inspection Pros Inc  |  847-712-7874  |  dean@203k.us