Home Possible Mortgage (Freddie Mac)

How much assistance

Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment (Government-Guaranteed Mortgage)

Eligibility

• Income limits: Household income at or below 80% of Area Median Income (AMI) for the property's location
• First-time buyer required: No
• Geographic restrictions: Available nationwide; primary residence only; 1-unit properties, condos, manufactured housing
• Homebuyer education required: No

Notes

Not a direct government loan — Freddie Mac sets guidelines; private lenders originate. 3% minimum down. PMI required until 80% LTV (can be cancelled). Reduced PMI rates (as low as 0.5%). As of 2025, Freddie Mac removed the hard 660 minimum credit score requirement; automated underwriting now evaluates risk holistically (most approved loans will still have 660+ scores, but compensating factors can offset lower scores). Homebuyer education required only if ALL borrowers are first-time buyers or credit established via non-traditional references only (CreditSmart or ReadyNest courses satisfy requirement). Down payment can come from gifts, grants, employer-assisted programs, or Freddie Mac Affordable Seconds. DTI up to 43% (manually underwritten); higher with automated underwriting. Repeat buyers eligible. First-time buyer definition: has not owned residential property in past 3 years. $2,500 credit available for first-time buyers at or below 50% AMI (extended through Dec 31, 2026; loans must be delivered by Feb 28, 2027). Updated March 2026.

Cities Where This Program Is Available

• Charleston, SC
• Charlotte, NC
• Raleigh, NC
• Spartanburg, SC
• Wilmington, NC
• Greensboro, NC
• Greenville, SC
• Durham, NC