skip to main content
flexible options for today’s homebuyers
low down payment, cancelable mortgage insurance, and credit-friendly guidelines
Home Possible® Loans are backed by Freddie Mac and designed to help more members achieve homeownership with as low as 3% down1. This loan is ideal for first-time or repeat buyers who meet moderate income requirements and want more flexible financing.
With this loan, members can cancel mortgage insurance once eligible—helping reduce monthly payments over time. It’s a smart option for those looking to purchase a primary residence and build equity faster.
Ready to explore your options? Our local mortgage advisors are here to help guide you through the process from prequalification to closing.
Features
- Low down payment – Finance your home with as low as 3% down1
- Cancelable mortgage insurance – Save on monthly payments once eligible2
- Flexible credit score requirements – Ideal for buyers with varied credit backgrounds
- Backed by Freddie Mac – Trusted secondary market support
- Primary residence only – Great for members purchasing a single-unit home
- First-time and repeat buyers welcome – Not limited to new homeowners
Requirements
- Income Limit – Your total income cannot exceed 80% of AMI for the property location
- Credit Score – A minimum credit score of 620 or higher is required
- Down Payment – A 3% down payment is required, however, funds can come from various sources, including gifts, grants, and employer assistance
- Property Types – Owner-occupied primary residences only, including single-family homes, multi-unit properties, condominiums, cooperative housing (co-ops) and manufactured homes
Ideal For
A Home Possible® mortgage is designed for low-to-moderate-income borrowers, especially first-time home buyers, who are seeking to buy a primary residence with as little as 3% down payment.
Frequently Asked Questions
A: Home Possible® is designed for low-to-moderate income borrowers, including both first-time and repeat buyers. It is ideal for Members who want a low down payment option, flexible credit guidelines, and the ability to cancel mortgage insurance in the future.
If you'd like help determining whether Home Possible is the best fit for your goals, talk with a Mortgage Advisor.
A: Home Possible® is designed for low-to-moderate income borrowers. To qualify, your total qualifying income generally cannot exceed 80% of the area median income (AMI) for the property's location.
You can check eligibility using the Home Possible® Income Eligibility Tool or speak with a Mortgage Advisor to confirm your eligibility.
A: Home Possible® allows qualified borrowers to purchase a home with as little as 3% down. Down payment funds can come from a variety of sources, including personal savings, gifts, grants, and employer assistance programs.
To see which funding sources you qualify for, connect with a Mortgage Advisor .
A: Yes. Home Possible® offers cancelable private mortgage insurance (PMI) once your loan reaches an eligible loan-to-value (LTV) ratio, typically around 80%, and program requirements are met. Canceling PMI can help reduce your monthly payment over time.
A Mortgage Advisor can help estimate when you may be eligible for PMI removal.
A: Home Possible® can be used to purchase a one-unit, owner-occupied primary residence. Eligible property types may include single-family homes, certain multi-unit properties, condominiums, co-ops, and manufactured homes that meet Freddie Mac guidelines.
If you're unsure whether a specific property is eligible, a Mortgage Advisor can review your options with you.
A: Home Possible® requires a minimum credit score of 620 or higher. Borrowers with stronger credit profiles may receive more favorable loan terms, but the program is designed to support Members with varied credit backgrounds.
To review your credit eligibility, connect with a Mortgage Advisor.
plan your next move
explore our mortgage calculators
Understanding your mortgage options can make a big difference in your financial future. Our mortgage calculators help you figure out monthly payments, estimate costs, and explore loan types to find what works best for you. Whether you’re buying a home, refinancing, or planning for the future, these tools give you the information you need to make confident choices.
related mortgage articles
Homebuying Basics: Closing Costs Explained
A simple, easy to understand guide to what closing costs are, when they’re paid, and how to prepare for them.
7 Questions to Ask Before Refinancing Your Mortgage
Is now the right time to refinance your mortgage? Here is a guide of key points and recommended questions to ask before refinancing.
13 Home Selling Hacks To Get the Highest Offer for Your Home
A home is the most significant financial investment you will ever make. Make sure you get the most for it when you decide to sell. Take these tips to ensure you sell your home quickly and for the highest possible price.
How to Build Your Dream Home with a Construction Loan
What if your dream home isn’t even on the market? Maybe it’s not, because you haven’t built it yet! A construction loan can open up a whole new world of homebuying possibilities! Here’s how they work.
Offer and terms subject to change. Loans subject to credit and collateral approval. Rate and term based on individual credit history and program guidelines. Consult a mortgage advisor for more details.
[1] Payment example, $258,750 retail value of property with 3.5% down amounts to financing $250,000 financed for 360 months at an adjustable rate of 6.421% APR equals a monthly payment of $1,539.29. Payment example does not include amounts for taxes and insurance premiums. If applicable, actual payment obligation will be greater. Rate may be increased after consummation.
[2] Loan must meet certain requirements for future PMI cancellation.