Purchase only transactions. Make renovations, repairs or improvements totaling up to 50 percent of the as-completed appraised value of the property with a first mortgage - rather than a second mortgage, home equity line of credit or other more costly financing methods. Eligible borrowers include: individual home buyers, investors, nonprofit organizations and local government agencies.
Purchase or refinance transactions. Repair, restore, rehabilitate, make additions or renovate. A co-borrower may be removed or related person may be added to the permanent financing under specific circumstances.
Purchase or refinance the cost of rehabilitation on a home that is at least one year old. A portion of the loan proceeds is used to pay the seller, or if a refinance, to payoff the existing mortgage and the remaining funds are placed in an escrow account and released as rehabilitation is completed. The cost of the rehabilitation must be at least $5,000. Properties can be any size: to a one- to four- unit structure.
Streamline mortgage for less expensive repairs or improvements.
Existing 1 - 4 unit homes (manufactured homes are not eligible), primary residence, investment property, second homes.
Purchase, no cash-out refinances, cash-out refinances. If mortgage proceeds are used to replace an Interim Construction Financing, the transaction must meet specific requirements.