HomeStyle – Benefits To Borrowers
HomeStyle Renovation Loans Benefits To Borrowers
HomeStyle Renovation Mortgage provides a convenient way for borrowers to make repairs and improvements with a first mortgage, rather than a second mortgage or home equity line of credit.
No mortgage insurance on loans with a loan-to-value less then 80%. On loans with LTV’s between 80.01-95% there will be no upfront mortgage insurance like on a FHA 203k and the monthly MI is also lower.
The funds can be used for any repairs or renovations that are permanently affixed and add value to the property including luxury items such as a new pool.
Checkout these great HomeStyle features
- No minimum amount of renovation for a HomeStyle.
- The current condition of the home or the “As-Is” value is not an issue with a HomeStyle mortgage.
- Repairs or improvements totaling up to 75 percent of the as-completed value of the property.
- Provides borrowers a conventional alternative to the FHA 203k and provides larger amounts of financing.
- HomeStyle oOffers one-to four family unit financing for owner occupied, second homes and private investors
- Full use of contingency reserve funds after scheduled renovation has been completed.
- Newly purchased homes can be renovated before the borrower moves in.
- Enables borrowers to refinance through either a rate/term or cashout transaction
- No required improvements (property must meet minimum appraisal standards) or restrictions on the types of repairs. Luxury items such as swimming pool, spas or saunas may be included in a Fannie Mae HomeStyle mortgage.
{ 2 trackbacks }