Home Point Renovation Lending

We're helping your customers make a home their own.

Home Point Renovation Lending offers loan options to borrowers seeking to refurbish existing homes. Borrowers can now purchase or refinance a home and include repair costs in a single mortgage.

With Home Point Renovation Lending, your buyers have the flexibility to finance larger repairs and upgrades cost-effectively. We combine our complete renovation loan product suite with process knowledge and dedicated specialists to make home improvement projects possible for your buyers who otherwise could not afford them. 

Contact your Account Executive or Correspondent Manager to get started.

Program Highlights

  • Purchase value is based upon purchase price plus improvement costs
  • Borrower can leverage higher appraised value
  • Avoids construction loans
  • Increases property value and builds equity
  • Combines the cost of the home and renovation into one mortgage
  • Low to moderate income
  • First-time homebuyers

Product Suite

Through the Federal Housing Administration (FHA), 203(k) rehabilitation loans and the Fannie Mae™ (FNMA) HomeStyle® program, borrowers can purchase or refinance a home and include repair costs in a single mortgage.

Standard 203(k)

This program is intended for extensive rehabilitation and/or improvements.

  • Minimum repair amount is $5,000
  • Maximum repair amount is contingent on the county limit for the home
  • High-balance homes are included
  • Luxury items that are not part of the property are excluded
  • One general contractor allowed
  • 5 draws available
  • Maximum 5 inspections and title updates are required
  • Maximum amount of time allowed for repairs is six months

Limited 203(k)

Intended for minor rehabilitation and/or improvements that do not require plans, consultants, engineers or architects.

  • No minimum repair amounts
  • Maximum repair amount is $35,000
  • Property must be habitable throughout the renovation process and repairs must not prevent the borrower from occupying the property for more than 15 days
  • Additional costs may be financed (inspection fees, permits, origination fee, etc.)

FNMA HomeStyle®

Provides a solution for borrowers, allowing them to obtain financing covering property acquisition and /or rehabilitation.

  • Applicable to owner-occupied/investment properties and second homes
  • Available for Conforming and High-Balance loan amounts
  • Credit/Reserve requirements follow Home Point FNMA guidelines
  • Home Point will require Approve/Eligible AUS findings
  • Funds for renovation cannot exceed 75% of the estimated 'after improved' value

Our Renovation Lending product suite can help create new opportunities for you and your clients.

  • Program appeals to younger buyers
  • Grows your pipeline
  • Mortgage lending provides simple access to a $300B per year industry
  • Excellent cash-out alternative
  • Allows for higher LTV than cash-out
  • Potential for more financing due to higher LTV and appraiser value determination
  • Helps to move less desirable properties