3% Down Payment with No Mortgage Insurance
There is a new loan program available that will enable the purchase of a single family home with as little sas 3% down payment. What’s more is that this new program does not require mortgage insurance nor an appraisal of the property.
Fannie Mae’s Homepath program is designed to help first time buyers get into a home. Now, as with all Federal programs, there are rules and restrictions that apply.
HomePath mortgage financing benefits include:
- Low down payment and flexible mortgage terms (fixed-rate, adjustable-rate, or interest-only)
- You may qualify even if your credit is less than perfect (minimum FICO 0f 660 for 97%)
- Available to both owner occupiers and investors (10% minimum down payment required)
- Down payment (at least 3 percent) can be funded by your own savings; a gift; a grant; or a loan from a nonprofit organization, state or local government, or employer
- No mortgage insurance
- No appraisal fees
- No declining markets policy
- No more than 10 financed properties
- No prepayment penalties
To be eligible the property must be listed on the www.HomePath.com website. The site feature an easy to use search function.
Happy house hunting!
