Freddie Mac BorrowSmart® Program

Freddie Mac BorrowSmart is a down payment assistance program for very low to low-income borrowers. It is an excellent mortgage program specifically designed to assist first-time home buyers to reduce cost in the home buying process. BorrowSmart program provides up to $1,250 in down payment/closing cost assistance based on Area Median Income (AMI) and other eligibility criteria.

BorrowSmart Down Payment Program Highlights

• The program is available only for purchase loans being used as a primary residence.
• Credit score as low as 620 can be accepted.
• Down payment requirements are as little as 3% down.
• The BorrowSmart proceeds can be used to cover both your down payment and closing costs to buy a home.
• Two levels of BorrowSmart assistance
  • BorrowSmart assistance for those with a qualifying income less than or equal to 50% of the county AMI
  • BorrowSmart assistance for those with a qualifying income between 50% and 80% of the county AMI
• You must complete home buyer counseling.
• Borrowers with qualifying income between 50.01% and 80% of county AMI may qualify for $1,250 (Minimum 90% loan-to-value (LTV)).
• $1,000 for borrower(s) whose qualifying income is greater than 80% and less than or equal to 100% of the county AMI (Minimum 95% loan-to-value (LTV)). Also subject property must be in high needs census tract or a manufactured home.
• BorrowSmart fund is not in the form of a loan, so you won't have to worry about paying it back.

Eligible Property Types Include

• Single Family Homes
• Condominiums
• Planned Urban Developments (PUDs)
• Manufactured Homes (5% Down Payment Required)

If you're a buyer with limited income looking to purchase a home, the BorrowSmart program could be a great opportunity to assist you in paying down payment and closing costs. At Premium Mortgage Demo, we can guide you through the entire mortgage process from start to finish and help you make the best financial decisions as per your unique requirements.

To see if you are eligible for down payment assistance to buy a home call us at 877 123 XXXX or click the button below to request a free consultation with one of our mortgage advisors.

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