Down-to-Earth Explanation of Fannie Mae Deed Restrictions

[Timothy J.]

I'm trying to understand whether we are able to obtain rehab funding for a Fannie Mae offer that was accepted. There is a Deed Restriction of 3 Months (the 90-Day Rule) that limits the Sales Price for 3 Months to not more than 120% of the Purchase Price, but I'm wondering about the line:

"Grantee Shall Also Be Prohibited From Encumbering Subject Property With a Security Interest in the Principal Amount of Greater than $43,200 for a Period of 3 Months."

Does this mean if we purchase it we can't rehab it via a Rehab loan? Not sure how to interpret this..