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J. Scott Harris – MortgageXperts.com

Call us 1st to AVOID mortgage problems, Call us 2nd to SOLVE them! We close loans every day that Banks would not, or could not approve. NMLS # 375517 – Mobile 214-435-8825

J. Scott Harris – MortgageXperts.com - Call us 1st to AVOID mortgage problems, Call us 2nd to SOLVE them!  We close loans every day that Banks would not, or could not approve. NMLS # 375517  – Mobile 214-435-8825

New Fannie Program – Home Ready 97% Program for Low Income Census Tracts

 

Here are the details:

https://www.fanniemae.com/content/fact_sheet/homeready-overview.pdf

Product Features •

DU will automatically identify potentially eligible loans.

Underwriting flexibilities include:
* Offers an innovative new feature that supports extended family households: will consider income from a non-borrower household member as a compensating factor in DU to allow for a debt-to-income (DTI) ratio >45% to 50%.
* Allows non-occupant borrowers, such as a parent.
* Permits rental income from an accessory dwelling unit (such as a basement apartment).
* Allows boarder income (updated guidelines provide documentation flexibility).

• Financing up to 97% LTV (DU is required for LTVs >95%). Borrower is not required to be a first-time buyer; purchase of one-unit principal residence (limited cash-out refi up to 95%).

• Lower MI requirement than standard (for LTVs >90% to 97%). • Allows for nontraditional credit.

• Gifts, grants, Community Seconds®, and cash-on-hand permitted as a source of funds for down payment and closing costs.

• Supports manufactured housing up to 95% and HomeStyle® Renovation (approved lenders) to 95%.

Category: Mortgage News