Yes. Freddie Mac CHOICERenovation® can finance purchase-and-renovate or rate/term refinance-and-renovate on 1-unit investment properties at up to 85% LTV on after-improved value — with LPA Accept underwriting and escrowed contractor draws.
Buying a tired rental and renovating after closing with cash or a HELOC stretches timelines and capital. Freddie Mac CHOICERenovation® can fund eligible repairs and upgrades in the first mortgage, sized on after-improved value so you borrow against the finished asset.
Investment Freddie Mac CHOICERenovation® is stricter than primary: higher down payments, stronger reserves, and investor overlays. One general contractor and escrow draws still control how rehab dollars are released.
Ryan and Steve compare Freddie Mac CHOICERenovation® investment financing with DSCR, bank-statement, and cash-out paths so you are not forcing the wrong product onto a rental deal.
W-2 or self-employed income supports conventional DTI, LPA Accept returns Accept, and you want renovations inside the first mortgage.
Roofs, systems, kitchens, pools, and structural work benefit from licensed bids and five inspection-based draws.
Purchase price (or payoff) plus rehab still fits 85% investment LTV on the finished appraisal.
Down payment, closing costs, and reserves are available without starving the project contingency.
Freddie Mac CHOICERenovation® keeps investment refinance at 85% — the same as purchase — so rate/term rehab refis are not forced into a lower leverage bucket.
| Transaction | Max LTV | Notes |
|---|---|---|
| Purchase | 85% | ~15% down on after-improved value |
| Rate/term refinance | 85% | No cash-out; 75% repair cost cap |
| vs. FHA 203(k) | N/A | FHA is primary residence only |
Related Freddie Mac CHOICERenovation® guides and investment financing options to compare before you apply.
Personal-use occupancy instead of income property.
Rate/term refinance-and-renovate at up to 85% investment LTV.
Cash-to-close by occupancy type.
Baseline conventional investment guidelines.
When rental cash flow qualifies without tax returns.
Full program overview and guide directory.
Yes, when conventional investment occupancy, credit, down payment, reserves, LPA Accept, and after-improved LTV guidelines are met. Rehab funds still sit in escrow with one general contractor — not as a DIY cash-out.
Investment properties allow up to 85% LTV on both purchase and rate/term refinance — typically 15% down on after-improved value. That is a key advantage vs. some renovation programs that cut investment refinance LTV lower.
Traditional Freddie Mac CHOICERenovation® investment underwriting is conventional — income, DTI, and reserves with LPA Accept. Pure DSCR (no personal income) is a different product family. Ryan and Steve will tell you which path fits your file.
Short-term rental plans can trigger investment overlays, appraisal complexity, and reserve requirements. Confirm how the property will be used at closing before you lock occupancy type.
Ryan & Steve will compare Freddie Mac CHOICERenovation® at 85% LTV with DSCR and other investor options so you pick the cleanest path.
Freddie Mac CHOICERenovation® 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.