The HomeReady® program by Fannie Mae offers expanded eligibility to help more buyers achieve home-ownership and provides reduced mortgage insurance.
Highlights & Terms
- Minimum down payment of 3%
- No cash-out refinance option is available for borrowers who occupy the property
- Flexible sources of down payments
- For purchase transactions secured by 1-4-unit primary residences, if all borrowers are first-time home-buyers, at least one occupying borrower must participate in a home-ownership education program
Guidelines & Consideration
- Property options include 1-4 units, condos and planned-unit developments
- Borrower’s income cannot exceed 80% of Area Median Income unless the property is located in low-income area
- Second home and investment properties are not eligible
- Minimum credit score 660
HomeReady® is a registered trademark of Fannie Mae.
