Fannie Mae Loans

 

There are a few different Fannie Mae Programs – Products that offer a Low Down Payment

 

FNMA Standard

Program Features

* Purchase and Refinance Options

* Fully Amortizing Fixed Rate Programs 10,15,20,25 and 30 Year Terms

* 15 and 30 Year Fixed Rate for high balance program

* Ability to cancel Mortgage Insurance

* Increased loan limits for higher cost areas

 

Eligibility Overview

 

Here is an overview of the eligibility requirements for this loan program. View the Guidelines for the complete eligibility requirements.

 

  • Minimum FICO of 620
  • Some lenders permits credit scored used by DU eligiblility assessment when there are multiple borrowers:
    • Referenced in SEL-2021-08 and Selling Guide B3-5.1.01
  • Standard appraisal requirements apply
  • 1-4 unit primary homes
  • 1-unit second homes
  • 1-4 unit investment property
  • FNMA Approved Condos/PUDs
  • Multi-width manufactured housing (Investment properties not permitted)
  • Single-width manufactured housing (Cash-out, Second homes and investment properties not permitted)

 

 

 

HomeReady

The HomeReady Mortgage includes innovative income flexibility that can possibly help to qualify for an affordable mortgage with a down payment as low as 3% down. HomeReady offers an affordable and cancellable monthly MI option. Borrowers do not need to be first-time homebuyers to qualify for the program.

Program Features

* Purchase, Rate /Term and Cash-out Refinancing

* Max loan of $1,054,500 on 4-Unit Properties

* 620 Minimum FICO

* Max 97% LTV

* AUS Approved Eligible

* 15, 20 AND 30 Year Fixed Terms Available

 

Eligibility Overview

 

Here is an overview of the eligibility requirements for this Program Feature. You can view the complete eligibility requirements from the Guidelines page of any loan program that offers this feature.

 

  • Minimum FICO of 620
  • 1-4 unit primary residence
    • FNMA approved Condos
    • PUDs
    • Manufactured Homes (Single or Multi-Width)
    • CHOICEHome properties
  • Maximum LTV
    • 97% – 1-Unit, Purcahse
    • 95% – Manufactured Housing
    • 95% – 1-Unit LCOR
    • 85% – 2-Unit, Purchase or LCOR
    • 75% – 3-to 4-Unit, Purchase or LCOR
  • income limit requirements not to exceed 80% AMI for the property’s location (includes properties in low-income census tracts).
  • Borrowers who occupy the property may not have an ownership (financing) interest in more than two residential properties, including the subject property, at time of closing
  • If all occupying borrowers are first-time homebuyers, then at least one borrower must complete a Fannie Mae approved online pre-purchase homeownership education program

 

 

HomeStyle Renovation

The Homestyle Renovation provides a convenient and flexible way to finance home improvements and repairs as part of a Purchase or Refinance. Guidelines are the same as the commonly used 203k loan.

*Purchase, Refinance

* 620 Minimum Score – Inquire though as some lenders at times will take a score as low as 600

 

Eligibility Overview

 

Here is an overview of the eligibility requirements for this loan program. View the Guidelines for the complete eligibility requirements.

 

  • Repairs may be structural or non-structural
  • Eligible property types:
    • 1-4 unit primary residences
    • 1-unit second homes
    • 1-unit Investment
    • FNMA approved condos
    • PUD’s
    • Multi-wide Manufactured Homes
    • 2-4 unit Investment properties are not permitted
  • Repairs or improvements must be permanently affixed to the real property and add value to the property