I’m Michael DiVita — DRE #01372066 | NMLS #241655, DiVita Home Finance (DRE #01818285 | NMLS #323700), Tiburon, CA. I’ve been in California mortgage lending since 2000 and founded DiVita Home Finance in 2007. The CHOICERenovation loan is worth knowing about specifically if you’re buying in a California fire zone — it’s the only renovation mortgage program that explicitly covers wildfire hardening. Call (800) 239-1103.
Freddie Mac’s CHOICERenovation loan is a powerful renovation mortgage option for California buyers — and it has one unique feature that makes it especially relevant here: it explicitly allows financing for disaster resilience improvements including wildfire hardening, flood mitigation, and seismic retrofitting.
What Is the CHOICERenovation Loan?
CHOICERenovation is Freddie Mac’s version of a renovation mortgage (similar to Fannie Mae’s HomeStyle). It combines the home purchase price with renovation costs into one loan, based on the home’s projected after-renovation value. You close once, fund the purchase, and draw renovation funds as work is completed and inspected.
Why CHOICERenovation Matters in California
California homeowners face unique risks — wildfires, earthquakes, flooding. CHOICERenovation explicitly allows financing for wildfire hardening (Class A roofing, ember-resistant vents, fire-resistant siding, defensible space landscaping), seismic retrofitting (foundation bolting, cripple wall bracing), and flood mitigation (elevation improvements, drainage systems).
This makes CHOICERenovation especially valuable for buyers in fire zone areas, mountain communities like Big Bear, and older California homes that need earthquake upgrades.
CHOICERenovation vs HomeStyle vs FHA 203k
All three programs combine purchase plus renovation into one loan based on after-improved value. CHOICERenovation’s unique advantage is that disaster resilience improvements are explicitly allowed and documented in the program guidelines. HomeStyle and CHOICERenovation are very similar otherwise — lender guidelines and pricing determine which is better for your specific situation. FHA 203k has a lower credit score threshold and primary residence restriction, and does not allow luxury upgrades.
CHOICERenovation Requirements
Down payment is 3–5% for primary residence and 10–15% for second homes. Credit score minimum is 620, with 680+ recommended for best pricing. Conforming loan limits apply. All renovations must complete within 12 months of closing. Licensed, insured contractors are required — draws are released as work is inspected and completed.
CHOICERenovationMORTGAGE: An Alternative for Existing Owners
Freddie also offers CHOICERenovationMORTGAGE for existing homeowners who want to renovate without refinancing their entire mortgage. It works similarly to a HELOC but is structured as a renovation loan for qualified improvements — useful when you have a low rate on your first mortgage that you want to preserve.
Is CHOICERenovation Right for Your California Home Purchase?
If you’re buying in a fire-prone area, older neighborhood, or a community where disaster-hardening adds real value and insurance savings, CHOICERenovation can be a smart choice. I’ll compare all renovation loan options and tell you which one fits your project best.
Frequently Asked Questions — CHOICERenovation Loan California
What makes Freddie Mac CHOICERenovation different from HomeStyle?
Both are conventional renovation loans with similar requirements — purchase plus renovation in one loan, based on after-improved value, with licensed contractors required. CHOICERenovation uniquely allows financing for disaster resilience improvements — wildfire hardening, seismic retrofitting, and flood mitigation — which is a significant benefit for California buyers in fire zones, earthquake-prone areas, and flood-risk communities. For most other renovation projects, HomeStyle and CHOICERenovation are very similar, and your lender’s pricing and guidelines will determine which program is better for your situation.
Can I use CHOICERenovation to wildfire-harden a California home?
Yes. Freddie Mac explicitly allows CHOICERenovation funds to be used for wildfire hardening improvements, including Class A fire-resistant roofing, ember-resistant vents, fire-resistant siding and soffit materials, and defensible space landscaping. This makes CHOICERenovation particularly useful for California buyers purchasing in designated high fire severity zones (HFHSZ), Wildland-Urban Interface (WUI) areas, and communities in Marin, Sonoma, and the foothills where insurers are requiring or strongly incentivizing hardening measures. The wildfire hardening work is financed through the same renovation escrow as any other approved improvement.
What is the minimum down payment for CHOICERenovation in California?
3% for primary residences with strong credit (620+), 5% otherwise for primary homes. Second homes require 10–15% down. Investment properties require a larger down payment — typically 15–25% depending on the lender. Note that CHOICERenovation follows conforming loan limits, so in California’s high-cost counties (Bay Area, LA, Orange County) the loan amount can go up to $1,249,125. For higher purchase prices plus renovation budgets that exceed conforming limits, you would need a jumbo renovation loan instead.
Talk to Michael Directly
DiVita Home Finance | Tiburon, CA | In lending since 2000, founded DiVita Home Finance in 2007. Michael DiVita DRE #01372066 | NMLS #241655. Company DRE #01818285 | NMLS #323700.
💬 Text: (310) 849-9124
