Exciting Down Payment Changes Coming for Primary Residence Multi-Units (Duplexes, Triplexes, and Fourplexes).
Fannie Mae, the leading source of mortgage financing in the United States, has exciting news…
Don’t let the lack of a big down payment stop you from purchasing a home! With this unique home loan program, you can purchase a home with just 1% down. You put down 1% and your lender pays an additional 2%, for a total of 3% down. You can even use gift funds for your portion of the down payment! Even more exciting is that it is a conventional 30-year fixed loan with no mortgage insurance!!! With such a low-down payment you can keep money in your pocket for things like furniture or home improvements.
This loan program is a lender paid down payment assistance grant that allows income-qualified borrowers to put 1% down and the lender will pay the additional 2% toward the down payment, up to $7,000, for a total of 3% down.
Flexible loan program guidelines like a Home Possible loan. They also offer very competitive interest rates as the typical loan level pricing adjustments don’t apply. To qualify your income must be at or below 80% of the Area Median Income (AMI). Minimum FICO score of 620 required. Single family homes, townhomes, and condominiums are the allowed property types.
*Principal and interest payment on a $300,700 30-Year fixed rate loan at 6.99% and 97% Loan-to-value (LTV) is $1,998.55. The Annual Percentage rate is (APR) is 7.148%. The principal and interest payments, which will continue for 360 months until paid in full, do not include taxes and home insurance premiums, which will result in a higher actual monthly payment. Rates current as of 7/6/2023. Subject to borrower approval. Some exclusions may apply.