HomeReady® was designed by Fannie Mae to make purchasing a home more affordable for borrowers. Creditworthy, low-to-moderate income buyers may be able to purchase a home with low down payment options as low as 3%.
Eligibility & Benefits
- Low down payment – as low as 3% (1-unit properties)
- Borrower must have low to moderate income
- Borrower is not required to be a first-time homebuyer
- Minimum FICO of 620 (1-unit properties)
- Homeownership education required
- Cash for down payment and closing costs can come from multiple sources, including gifts, grants, or Community Seconds® with no minimum requirement for personal funds (1-unit properties)
- Purchase & Refinance Options
- Cancellable Mortgage Insurance*
- Unlike government-insured loans, with HomeReady®, borrowers may have the option to cancel their mortgage insurance once their home equity reaches 20%. This can potentially result in lower monthly payments in the future.
*Restrictions may apply. American Financial Network, Inc. is not acting on behalf of or at the direction of the federal government, and this offer is not being made by an agency of the government. Source: https://www.fanniemae.com/singlefamily/homeready