How Low Will Mortgage Rates Go?

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Freddie Mac is willing to go as low as 3% down for a mortgage loan. A recently launched mortgage loan, Home Possible AdvantageSM grants potential homeowners the opportunity for affordable mortgage loans. Lakeside Title is here to explain the details to your pending questions.

Who is eligible?

Borrowers who have limited savings, low to moderate income, and first-time homebuyers are eligible for Home Possible AdvantageSM.

What are the qualifications?

Potential buyers must meet minimum credit requisites and have immediate funds to cover the required down payment. Homeownership education is necessary for first-time homebuyers to take advantage of the mortgage loan. Freddie Mac offers CreditSmart as an option.

Does a Home Possible AdvantageSM mortgage require PMI?

Private mortgage insurance (PMI) is required on all loans without a 20% minimum down payment. PMI serves as an added insurance policy that protects the mortgage lender should negligence of loan payment persist.

Is the loan available for refinance use?

Home Possible AdvantageSM fixed rate mortgage terms range from 15 to 30-year rates and can replace existing mortgages with a “no cash out” refinance.

How is Home Possible AdvantageSM different than other low down payment mortgages?

Freddie Mac designed Home Possible AdvantageSM with current trends in mind.  New underwriting requirements exist with stricter credit standards, lower debt-to-income ratios, fixed-rates conditions, and housing counseling requirements.

Are you interested in learning more about the Home Possible AdvantageSM mortgage or other loan options? Whether you’re refinancing or purchasing a home, Lakeside Title is designed to represent your best interests and ensure the transaction goes smoothly. Have questions? Let us help.

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