Renovation loansbuy it and fix itwith one loan.
Renovation loans let you finance the purchase and the repairs together, based on what the home will be worth when the work is done. They open up homes other buyers pass on, and let current owners upgrade without a second loan.
Secure application, about 10 minutes. A licensed loan officer reviews it and reaches out to walk you through your options.
Who Renovation works best for.
A strong fit if
- You found the right location but the house needs work
- You want to update an older home in Prince George's County or DC as part of buying it
- You would rather have one loan than a mortgage plus a personal loan or credit cards
- You have a licensed contractor and a realistic bid
Compare options if
- You plan to do the work yourself. Most programs require licensed contractors
- You need to close fast in a competitive situation. Renovation loans take extra time for bids and review
- The repairs are small and cosmetic. A standard loan plus savings may be simpler
Renovation guidelines in plain numbers.
These are the program rules. Each lender can add its own on top, which is why we shop your file across several of them.
| Limited 203(k) | Up to $75,000 in non-structural repairs and upgrades: kitchens, baths, roofs, HVAC, flooring, paint. No 203(k) consultant required. |
|---|---|
| Standard 203(k) | Repairs of $5,000 or more, including structural work and additions. Requires a HUD 203(k) consultant who writes the work scope and inspects draws. |
| Fannie Mae HomeStyle | Conventional renovation loan. Renovation costs up to 75% of the as-completed value. Allows luxury items like pools and works for second homes and investment properties. |
| How the loan is sized | Based on the purchase price plus repairs, limited by the value the appraiser expects after the work is done. |
| Contractors | Licensed and insured contractors with written bids. Funds are held and paid out in draws as work is completed. |
| Down payment | 3.5% with FHA 203(k). Conventional HomeStyle follows conventional down payment rules. |
| Timeline | Plan on a few extra weeks before closing for bids, review and appraisal. |
Estimate a 203(k) payment.
Enter the purchase price plus your repair budget as the home price. The estimate uses FHA 203(k) costs.
Two ways to finance a renovation.
Your credit score, down payment and the type of work decide which fits. We price both.
Apply once
One secure application, about 10 minutes.
We price both
FHA 203(k) and HomeStyle across our lenders, side by side.
You pick with real numbers
Payment, cash to close and total cost, in plain terms.
FHA 203(k) or HomeStyle?
| Feature | HomeStyle | FHA 203(k) |
|---|---|---|
| Down payment | Conventional rules, from 3% for first-time buyers | 3.5% |
| Credit | Most lenders 620+ | 580+ under HUD, lenders often higher |
| Repair limit | Up to 75% of after-repair value | $75,000 Limited, no cap on Standard beyond loan limits |
| Occupancy | Primary, second home or investment | Primary residence |
| Luxury items | Allowed | Not allowed |
Renovation questions we hear every week.
What can I fix with a Limited 203(k)?
Non-structural work up to $75,000: kitchens, bathrooms, roofs, windows, HVAC, plumbing, electrical, flooring and paint. Structural changes and additions need a Standard 203(k).
Can I do the work myself?
Generally no. Renovation lenders require licensed, insured contractors with written bids, and pay them in draws as the work is done.
How long does a renovation loan take?
Plan on a few weeks longer than a standard purchase, for contractor bids, lender review and an appraisal based on the finished value.
Can I use a renovation loan on a home I already own?
Yes. Both 203(k) and HomeStyle can be used as a refinance to fund improvements on your current home.
What if the repairs cost more than expected?
Renovation loans include a contingency reserve, often 10% to 20% of the repair budget, for surprises. Unused reserve goes toward your loan balance.
Compare other options.
FHA Loans
3.5% down and flexible credit for buyers with a 580+ score.
ExploreConventionalConventional Loans
3% down for first-time buyers, and mortgage insurance that comes off at 20% equity.
ExploreRefinanceRefinance & Cash-Out
Lower your rate, drop FHA insurance, shorten your term or take cash out.
ExploreZero downUSDA Loans
No down payment financing for eligible homes in qualifying areas of Maryland and Virginia.
Explore