Discover the Possibilities With Home Possible
The CambridgeHomeLoan Home Possible® mortgage offers more options and credit flexibilities than ever before to help your very low-to low-income borrowers attain the dream of owning a home.
In addition to its down payment requirement of as little as 3%, Home Possible now offers more options to responsibly increase homeownership for more of your borrowers. Co-borrowers who do not live in the home can be included for a borrower’s one-unit residence, borrowers are permitted to have another financed property, and more –all with competitive pricing and the ease of a conventional mortgage.
We’re helping you provide affordable solutions to more creditworthy borrowers so you can enhance your business and your communities at the same time.
Home Possible Mortgage Features
FLEXIBLE SOURCES OF DOWN PAYMENTS
Down payment can come from a variety of sources, including family, employer-assistance programs, secondary financing, and sweat equity.
Qualifying income is limited to 80% of Area Median Income (AMI), effective July 28, 2019. There are no geographic limits on loan amounts. Use the Home Possible Income & Property Eligibility Tool to see income limits for specific properties or submit to Loan Product Advisor® to determine Home Possible income eligibility.
Please read our FAQ about the updated Home Possible income limits effective July 28, 2019.
MAXIMUM LTV RATIOS
Low down payment with a maximum of 97% LTV, 105% TLTV with Affordable Seconds®, and 97% HTLTV for 1-unit properties.
Mortgage insurance (MI) on 1-unit properties can be cancelled after loan balance drops below 80% of the home’s appraised value and cancellation criteria are met. MI coverage requirements are reduced for LTV ratios above 90%.
Credit fees are capped and less than standard fees for all loans over 80% LTV.
PROPERTY TYPE/ELIGIBLE PROPERTIES
1-4 units, condos and planned-unit developments; manufactured homes are eligible with certain restrictions.
Get Home Possible Loan 3% Down
Growing Your Business
From valuable training and networking events to advanced tools and applications that help you work smarter, Freddie Mac has the resources you need to expand into new markets and grow your revenues.
- Expand your market opportunity: Accommodate borrowers in a wide range of life stages from millennials purchasing their first home, to move-up borrowers and retirees considering downsizing.
- Expand your business by meeting a greater variety of client needs: Offer enhanced credit flexibilities to meet the needs of diverse individual borrower situations, giving them the practical solutions to own a home.
- Overcome the down payment barrier: Capitalize on a low 3 percent down payment solution and lend up to 105 percent TLTV with an Affordable Second® on a 1-unit property.
- Benefit from certainty: Choose to qualify through Loan Product Advisor for greater certainty in the loans you sell to Freddie Mac.
Benefits to Your Borrowers
- Realize the milestone of homeownership without the barrier of gathering a 20 percent down payment.
- Apply sweat equity for up to the entire amount of the down payment and closing costs.
- Non-occupying co-borrowers can contribute to borrower funds on one-unit properties.
- Cancel mortgage insurance upon reaching 20 percent equity, reducing the monthly mortgage payment and potentially saving thousands over the life of the loan.
- Enable empowered decisions and life-long responsible homeownership with required homeownership education, which can be fulfilled by Cambridge Home Loans.
Refinance and Mortgage Home Loan Advice
Minimum Property Requirements (MPRs) For A VA Home Loan MPR’s VA has established Minimum Property Requirements (MPRs) to protect the interests of Veterans, lenders, servicers,