Blog posted On July 03, 2018
Fannie Mae HomeReady® Mortgage is a low down payment loan with 95% and 97% financing options and cancellable mortgage insurance coverage. The HomeReady® Mortgage is not limited to first-time home buyers and available for repeat home buyers seeking an affordable financing option. The HomeReady® Mortgage also employs flexible underwriting and credit guidelines allowing rental unit and boarder income to be included in the debt-to-income ratio and allowing non-occupant borrowers, like a parent borrowing on behalf of a child.
On June 23rd, Fannie Mae released revised income limits for the HomeReady® Mortgage. Fannie Mae reports, the income limits will increase for about 94% of census tracts and will go up by at least 5%. To access the Fannie Mae HomeReady® Mortgage income limits in your area click here to access resource.
According to Zillow, saving for a down payment is the most common obstacle to homeownership. Using programs like Fannie Mae HomeReady® Mortgage is one way for renters to transition into homeownership sooner. The program also welcomes down payment assistance. Gifts, grants, and Community Seconds® can all be used toward the down payment and closing costs.
To learn more about Fannie Mae HomeReady® Mortgage and its guidelines, visit https://www.fanniemae.com/singlefamily/homeready.