Your Renovation Concierge Specialist will work with you and your Contractor if additional repairs will be required to complete your home improvement project.
Your loan has a Contingency Reserve built into the loan amount to assist you with any unforeseen repairs or cost overruns. Typically that Contingency Reserve is 10% to 15% of the original contractor work estimate.
This Contingency Reserve is designed to assist with correcting any fire, health or safety issue that might occur during your home improvement project. It is not designed for items such as purchase of appliances or other cosmetic issues.
To request the use of any funds in the Contingency Reserve, you and your Contractor should complete a formal Change Order Request (HUD Form 92577). This HUD form needs to be completed and signed by you, your contractor, your HUD Consultant (for 203(k) Full Consultant or Fannie Mae HomeStyle transactions) and your lender. Please don’t allow your contractor to begin extra work until this requested Change Order is approved by HomeBridge Financial Services, Inc.
To discuss a possible Change Order Request, please contact your personal Renovation Concierge Specialist at firstname.lastname@example.org.
Please give us one business day to review and respond to this Change Order Request. Once your home improvement project is complete, any unused funds in your Contingency Reserve will be used to pay down the principal balance of your loan, building more equity in your newly renovated dream home.