Home Possible and Home Ready

There are two really great loan programs offered by Fannie Mae (Home Ready) and Freddie Mac (Home Possible) that combine low down payment loans with superior mortgage terms.

These products may have better terms than standard conventional financing at a variety of down payment amounts.

Program Highlights:

  • 3% Down minimum for loan amounts up to $484,350.  5% Down minimum for loan amounts $453,101-$726,525.
  • Reduced mortgage insurance coverage requirements and premiums (More information on 3 mortgage insurance options): https://alexjaffe.com/mi
  • Credit score tolerant for credit scores 680-739 (Lower credit scores don’t have as much an effect on rate as on standard conventional financing)
  • Maximum income is the median household income.  In DC that may be around $117,200.  However there are many properties where no income limits apply.  To look up what the income limit is, use these two tools:

Freddie Mac: Home Possible Income and Property Eligibility and just type in the property address.  The required class takes a few minutes and is located at http://homebuyers.mgic.com/  Your home buyer education code is ajaffe@gofirsthome.com

Fannie Mae: Home Ready lookup just type in the property address.  Home Ready requires completion of a ~6hr online class.   This is the link to the class for Home Ready.

It’s absolutely worth considering these products as comparisons against both FHA and standard conventional financing.  Or as comparisons against 0% down loans.  I’m happy to help you figure out what the best plan for financing is.

Questions, or ready to pre-qualify?  Call me at 240-479-7658 or ajaffe@firsthome.com.  Pre-Qualify Now

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