Home Ready & Home Possible Programs
HomeReady and Home Possible are two mortgage programs designed to help low- to moderate-income borrowers purchase a home. Both programs offer flexible credit requirements and down payment options to make homeownership more affordable.
HomeReady
The HomeReady program is offered by Fannie Mae and is designed to help borrowers with low to moderate incomes purchase a home. The program offers a low down payment option of just 3%, and borrowers can use gifts, grants, or Community Seconds® to pay for their down payment and closing costs. Borrowers must complete a homeownership education course to be eligible for the program.
Home Possible
The Home Possible program is offered by Freddie Mac and is designed to help borrowers with low to moderate incomes purchase a home. The program offers a low down payment option of just 3%, and borrowers can use gifts, grants, or affordable second mortgages to pay for their down payment and closing costs. Borrowers must complete an online homeownership education course to be eligible for the program.
Both programs also offer flexible credit requirements, allowing borrowers with lower credit scores to be eligible for the program. Borrowers can also use income from non-borrower household members, such as family members or renters, to help them qualify for the loan.
Borrowers should carefully review the terms and conditions of each program and work with a mortgage professional to determine whether HomeReady or Home Possible is the right option for their financial situation.