Designer Working On Color Selection For Kitchen And House
Product Features FHA Standard 203(k) FHA Limited 203(k) Fannie MaeTM HomeStyle®
Transaction Type Purchase or refinance Purchase or refinance Purchase or refinance
 
Loan Type Fixed rate, Fixed rate High Balance Fixed rate, Fixed rate High Balance Fixed rate, Fixed rate High Balance
 
Maximum LTV Purchase 96.5% — refinance 97.75% Purchase 96.5% — refinance 97.75% 97% FTHB / 95% NFTHB O/O—90% 2nd home—85% Inv.
 
Occupancy O/O O/O O/O, 2nd home, investment
 
AUS Requirement Approve/Eligible Approve/Eligible Approve/Eligible
 
HPF Overlays If Applicable If Applicable If Applicable
 
Number of Units Allowed One to four One to four One to four O/O, one unit 2nd home and
  investment property
 
Number of Contractors Allowed One general contractor Maximum three licensed contractors Maximum three licensed contractors
 
Self-Help or Do-it-Yourself Prohibited — arm’s length relationship Prohibited — arm’s length relationship between Prohibited — arm’s length relationship between
  between borrower and contractor required borrower and contractor required borrower and contractor required
 
Type of Repairs Discretionary, no luxury, health and safety, Discretionary, no luxury, health and safety, No restrictions, discretionary, luxury okay, health and
  livability, structural livability, non-structural safety, livability, structural, accessory unit.
 
Maximum Total Loan Amount Base loan amount, to county limit Base loan amount, to county limit To conforming limit, high-balance accepted
 
Minimum Repair Amount $5,000 No minimum No minimum
 
Maximum Renovation Amount Up to county limit Up to $35,000 (based on total renovation amount 75% of as completed appraisal value, and based on
  from Max Mortgage Worksheet) renovation amount from Max Mortgage Worksheet
 
HUD Consultant Required Yes No Yes on projects over $50,000 or with structural
  changes
 
Draws Five draws after inspection, no upfront Two draws; lesser of cost of materials or 50% of bid Limited to 50% of the total upfront Material Cost.
  payments dispersed at settlement, balance upon completion
 
Number of Inspections Max 5 — cost is minimum $200/each One per contractor — minimum $200/each Max 5 – cost is minimum $200/each
 
Number of Required Title Updates Same number as draws — cost is $115/each One – cost is $115 Same number as draws — appraiser’s final does
  not require title update
Contingency Required Yes, minimum 10%; 15% if utilities are Yes, minimum 10%; 15% if utilities are non- Yes, 15% required when renovation funds are >50%
  non-functioning functioning of value, or at UW discretion. 10% in all other cases.
Resolution of Unused Contingency Funds May be used for additional work on property Applied to principal May be used for additional work on property or
  or applied to principal applied to principal
 
Time Allowed for Completion of Repairs Max six months from settlement Max three months from settlement Max six months from settlement
 
Final Inspection by Original Appraiser No — done by HUD consultant Yes Yes, inspection is in addition to the final done by
Required HUD consultant — cost is $200