Designed to make home loan financing more accessible, the HomeReady® mortgage loan program provides eligible homebuyers with a variety of ways to achieve their homeownership goals.
Perhaps the biggest advantage of the HomeReady® loan program is the down payment requirement – which is as low as 3%. Plus, there are no “minimum borrower contributions,” which means your down payment and/or closing costs can come from places other than your bank account, like qualified grants, monetary gifts, and more.
Essentially, this loan program is catered toward prospective homebuyers who want to become homeowners but may have faced some barriers.
Other benefits of this home loan include:
- No first-time homebuyer requirement; even if you’ve owned a home in the past, you may still qualify
- Total annual qualifying income must not exceed 80% of the average median income (AMI) for the property’s location
- Rental income can be considered for qualifying for the loan
A few requirements for this program include:
- Loan type: Fixed rate
- Occupancy: Property must be a primary residence that all borrowers occupy; non-occupant borrowers are allowed at 95% loan-to-value (LTV) or lower
- Homebuyer education required on purchase transactions if all occupying borrowers are first-time homebuyers
Subject to credit approval and program guidelines. With Adjustable Rate Mortgage loans, the rate is variable and may increase or decrease every year after the initial fixed rate period based on changes to an index. This could result in an increase in the monthly payment.
Contact one of our mortgage experts to learn more about the HomeReady® loan program and get pre-approved today.
Contact one of our mortgage experts to learn more about the HomeReady® loan program and get pre-approved today.
