Question

Will have to go with a jumbo renovation loan with a much higher interest rate than what we currently have. Thanks.

Answer 1

You can choose HUD'S FHA 203 RENOVATION LOANS but there are maximum loan limits with all FHA Loans. We offer non-qm jumbo mortgages with 620 credit scores but there are no renovation loan programs with non-qm jumbo mortgage: Here is a link on NON-QM JUMBO MORTGAGES : https://gustancho.com/non-qm-jumbo-loans

Answer 2

Correct, you can use FHA 203 K refinance loans for renovations on a home you already own, but there are loan limits. These limits are based on counties, see https://entp.hud.gov/idapp/html/hicostlook.cfm to check your county. You can use a conventional loan such as FANNIE MAE HOMESTYLE for renovations. These have a higher loan amount than FHA, most counties are $453,100. At this time you cannot use a Jumbo loan for renovations.