Until this week, borrowers needed at least a 5% down payment to purchase a home through a Fannie Mae or Freddie Mac conventional loan program. As of this week a new 3% down program is rolling out. The new program will only apply to single family, primary residences, and as with all Fannie/Freddie loans, qualifying will require solid credit and income. Borrowers with credit troubles will probably still be best served by the FHA or VA purchase programs.
As with any new mortgage program, there will probably be some growing pains in the initial weeks of the launch. But the good news for home buyers is qualifying for a Fannie/Freddie loan will now require less money up front.
If you are interested in purchasing a home, contact us today on our home purchase page.
February 17th, 2015 at 9:30 am
I am really interesting in the new first buy home buyer.
August 5th, 2015 at 5:12 pm
1 time home buyer