The Purchase & Rehab loan is available for eligible borrowers purchasing a home within a Healthy Neighborhood.
Eligible borrowers must also use this loan to make improvements to the property in conjunction with a purchase. The loan carries a fixed interest rate that’s always 1% below the 60-day Fannie Mae rate (but in no event less than 4%). After contributing 3% of the purchase price from their own funds, buyers may borrow the balance of funds needed to buy and renovate the home, as much as 110% of the after-rehabilitation appraisal of the property. No private mortgage insurance is required. Design assistance from an architectural firm is available to help buyers plan improvement and review contractor proposals. See term sheet for more details!
Frequently Asked Questions
The process will take at least 45 days. If the renovation work you propose to complete is complex, it may take longer. We recommend a 60-day contract.
No, HNI does not recommend contractors, but you can request contractors here.
