HomeStyle finances a wide range of conventional-eligible properties — single-family homes, condos, townhomes, 2–4 units, and some manufactured homes — for primary, second, and investment occupancy when Fannie Mae and lender guidelines are met.
The property must be financeable on conventional terms before renovation escrow is added.
The same property type can qualify under different down payment and reserve requirements depending on how you will use it.
| Occupancy | Typical use | Down payment |
|---|---|---|
| Primary | Fixer-upper you will live in | 5% standard / 3% HomeReady |
| Second home | Vacation property remodel | Often 10%+ |
| Investment | Rental renovation or flip | Often 15–25% |
Condemned or uninhabitable without major work
Extreme distress may still qualify if the scope restores habitability and the after-improved appraisal supports the loan — but the rehab plan must be realistic.
Non-warrantable condos
Projects in litigation, with high rental concentration, or failing reserve studies may need a different property or program.
Mixed-use or commercial zoning
Primarily residential use is required. Heavy commercial activity on-site can disqualify the property.
Unique or non-standard construction
Log homes, dome homes, or properties with unpermitted additions need extra review before HomeStyle approval.
HomeStyle exists partly because the home may not pass a standard conventional appraisal as-is. Peeling paint, outdated systems, or incomplete renovations are often exactly why you need a renovation loan — as long as the scope of work cures the deficiencies and supports after-improved value.
Send Ryan and Steve the listing address or MLS link before you write the offer. We confirm property type, occupancy, and condition against HomeStyle rules at Luminate Bank.
Credit, LTV, and occupancy rules that pair with property eligibility.
How the conventional renovation mortgage works.
What repairs and upgrades can roll into the loan.
Full overview with primary, second home, and investment notes.
Cross-program property eligibility for FHA, HomeStyle, and VA.
Compare all purchase-plus-rehab options.
Yes, when the condo project is Fannie Mae warrantable or meets limited-review requirements. HOA litigation, high investor concentration, or deferred maintenance can block approval — we verify project status early.
Certain manufactured homes on permanent foundations may qualify when they meet Fannie Mae MH Advantage or standard manufactured housing guidelines. Age, foundation type, and land ownership all matter.
Often yes when you occupy one unit as your primary residence. Multi-unit owner-occupied properties follow conventional 2–4 unit rules with higher reserve and down payment expectations.
Yes. Investment properties are eligible when you meet higher down payment, reserve, and LTV requirements. The property must still support the after-improved value with a viable rental or flip plan.
Share the address and your occupancy plan — we will confirm HomeStyle eligibility before you commit.
HomeStyle is a registered trademark of Fannie Mae. 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 Fannie Mae, HUD, or any government agency. Information is for educational purposes only and is not a commitment to lend.