The security property for a HomeStyle Renovation mortgage must be
- a one- to four-unit principal residence;
- a one-unit second home;
- a one-unit investment property;
- a manufactured home; or
- a unit in an eligible PUD, condo, or co-op project.
When the security property is a unit in a condo or co-op project, the proposed renovation work must be permissible under the bylaws of the HOA or co-op corporation, or the HOA or co-op corporation must have given written approval for the renovation work. The renovation work for a condo or co-op unit must be limited to the interior of the unit, including the installation of fire walls in the attic.
The renovation of manufactured homes is allowed under HomeStyle Renovation provided the improvements do not include structural changes (such as adding a garage or other attached element). Eligible, non-structural improvements include, but are not limited to
- improvements to kitchens and bathrooms;
- installing energy efficiency heating and cooling systems;
- changes to address mobility and aging in place requirements; and
- installation of new windows, doors, siding, or roofing provided these changes do not alter the structure of the unit.
For additional information, see B5-3.2-02, HomeStyle Renovation Mortgages: Loan and Borrower Eligibility.