Freddie Mac · Conventional Renovation

Freddie Mac CHOICERenovation®

Purchase or rate/term refinance and finance renovations in one conventional mortgage — primary, second home, or investment property, with pools allowed and LPA Accept underwriting.

LPA Accept required

Pools allowed · 15-month completion

Primary, second & investment

Freddie Mac rehab

Up to 97% LTV · $100k min loan

5 draws + final 1004D · consultant only in AK, CA, HI, NY

Home Possible® eligible?

Need 97% LTV rehab on your primary home?

Freddie Mac CHOICERenovation® can be paired with Freddie Mac Home Possible® for eligible borrowers — 3% down on a 1-unit primary with income limits and standard LPA Accept underwriting.

Purpose

A conventional renovation loan that allows borrowers to purchase or refinance a home and finance renovation costs into a single mortgage — from cosmetic updates through structural work. Freddie Mac CHOICERenovation® supports single-close financing sized on after-improved value.

When you qualify for Home Possible®, Freddie Mac CHOICERenovation® can be combined for eligible primary-residence purchases at up to 97% LTV. Ryan and Steve run your file through Loan Product Advisor for an Accept recommendation — manual underwriting is not permitted.

At a Glance

Eligible Transactions & Occupancy

Eligible Transactions

•Purchase
•Rate/term (no cash-out) refinance

Eligible Occupancy

•Primary residence
•Second home
•Investment property

Eligible Property Types

Credit & Loan Size

Underwriting

Loan Product Advisor Accept required. Manual underwriting is not permitted on Freddie Mac CHOICERenovation®.

Minimum Loan Amount

$100,000 minimum total loan amount including acquisition and renovation escrow.

Maximum Loan Amount

Per current FHFA conforming loan limits for the county and unit count.

Maximum LTV

Loan-to-value limits by occupancy, unit count, and transaction type. Investment refinance stays at 85% — not 75%.

Purchase

Primary — Home Possible eligible	97%
Primary — 1-unit owner-occupied	95%
Primary — 2-unit owner-occupied	85%
Primary — 3–4 unit owner-occupied	80%
Primary — manufactured home	95%
Second home	90%
Investment property	85%

Rate/Term Refinance

Primary — Home Possible eligible	97%
Primary — 1-unit owner-occupied	95%
Primary — 2-unit owner-occupied	85%
Primary — 3–4 unit owner-occupied	80%
Primary — manufactured home	95%
Second home	90%
Investment property	85%

Mortgage Insurance

•Mortgage insurance is required when applicable based on LTV.
•Standard mortgage insurance coverage through Loan Product Advisor.
•Reduced MI coverage is not permitted on Freddie Mac CHOICERenovation®.

Repair Limits

Minimum

No minimum renovation amount required.

Purchase

Renovation costs cannot exceed 75% of the lesser of purchase price plus renovation costs, or as-completed appraised value.

Refinance & Manufactured

Refinance: renovation costs cannot exceed 75% of as-completed appraised value.

Manufactured: lesser of $50,000 or 50% of as-completed appraised value.

What Can Be Financed?

Eligible Repairs

Consultant, Contractors & Draws

Consultant required only in Alaska, California, Hawaii, and New York.

One general contractor with specialty contractors as needed. Five draws plus final inspection (1004D), 10% holdback per draw, and up to 50% material advance on initial draw.

Renovations must be completed within 15 months after closing. Up to 6 months of PITI may be financed if the property is uninhabitable.

Eligible Loan Products

Best Uses

Freddie Mac CHOICERenovation® only

Freddie Mac CHOICERenovation® Loan Calculator

Locked to Freddie Mac CHOICERenovation® rules — occupancy and unit-count LTV, Home Possible 97%, $100,000 minimum, 75%/50% repair caps, and investment refi at 85%.

Freddie Mac CHOICERenovation® rules applied

• LPA Accept required · no manual UW
• $100,000 minimum loan amount
• 5 draws + final 1004D · 10% holdback
• Investment refi max 85% LTV
• Consultant only in AK, CA, HI, NY
• One general contractor · no DIY in escrow

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Loan Purpose

Occupancy

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Unit Count

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{calc.loanPurpose === 'purchase' && calc.occupancy === 'primary' && calc.unitCount === 1 && !calc.manufactured && ( Home Possible® eligible (97% LTV / 3% down) Doublewide manufactured home ($50k or 50% ARV cap)

Mortgage Product

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Repair Costs (no minimum · max ${maxRepairsAllowed.toLocaleString()})

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Consultant Fee

Permit Fees

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PITI months to finance (max 6)

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Down Payment (% min)

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After-Improved Value (ARV)

Interest Rate

Property Tax (yr)

Home Insurance (yr)

HOA Dues (mo)

Estimated Monthly Payment

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Rehab escrow breakdown

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Principal & Interest${monthlyPI.toLocaleString()}

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Property tax${monthlyTax.toLocaleString()}

Home insurance${monthlyInsurance.toLocaleString()}

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HOA${calc.hoa.toLocaleString()}

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Total loan amount${totalLoan.toLocaleString()}

LTV vs. ARV{ltv.toFixed(1)}% (max %)

Max loan at % LTV${maxLoanByLTV.toLocaleString()}

Max repair cap${maxRepairsAllowed.toLocaleString()}

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Down payment${downPayment.toLocaleString()}

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This calculator is for informational purposes only. Results are estimates and are not exact — they do not include all closing costs, prepaid interest, or escrow deposits. Contact us for a personalized quote.

Freddie Mac CHOICERenovation® is a registered trademark of Freddie Mac. Home Possible is a registered trademark of Freddie Mac. All loans are subject to credit and property approval. Program guidelines, LTV limits, and pricing are subject to change without notice and may not be available in all areas. This website is not affiliated with or endorsed by Freddie Mac, Fannie Mae, HUD, or any government agency. Information is for educational purposes only and is not a commitment to lend.

Mortgage Knowledge Center

Common Freddie Mac CHOICERenovation® Questions

Deep-dive guides on what Freddie Mac CHOICERenovation® is, who qualifies, borrowing power, occupancy, contractors, fund draws, appraisals, timelines, documents, and more.

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Ready to buy and renovate with Freddie Mac CHOICERenovation®?

Ryan and Steve will review your property, contractor bids, and credit profile — then compare Freddie Mac CHOICERenovation® with HomeStyle and FHA 203(k) so you pick the cleanest path.