CHFA refinance
CHFA subordinates its down payment second once, and only into its own FHA Streamline. Every other refinance has to retire it, which means the new first has to be large enough to cover both. This shows you which door is open.
Your loan today
If you renovate
A 203(k) finances 100% of your existing debt plus the cost of the work. A standard FHA refinance finances 97.75% of what the house is worth, which means it lives or dies on a fresh as-is appraisal. In a market where values have slipped, that is the number that kills the deal. The 203(k) appraisal is written subject to the completed work instead, and the backstop sits at 110% of that value.
Send the CHFA note and your current statement. We will tell you whether the second can subordinate, what it costs to retire it, and whether a renovation loan is the way through.
Estimate only, not a commitment to lend. FHA rate-and-term and 203(k) refinances are limited to 97.75% of value, the 203(k) ceiling is 110% of the after-improved value times 97.75%, conventional rate-and-term is limited to 95%, and 203(k) is not available as a cash-out transaction. A 203(k) requires the work to actually be done, on a schedule, with the funds held in escrow. CHFA sets its own subordination policy and can change it. Speak Straight Mortgage, Company NMLS 2426226, Equal Housing Opportunity.