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. 

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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