Through low down-payment requirements, specialized underwriting criteria and home ownership education. Lenders will also benefit with new desktop underwriting features.
- Low Down Payment & Lower MI Requirements - HomeReady™ will allow both first-time and repeat homebuyers the opportunity to purchase a home with just a 3% down payment.HomeReady™ will also feature lower mortgage insurance than the standard for LTV’s>90% to 97%.
- Flexibilities - HomeReady™ new way to determine applicants’ debt-to-income ratio: It will allow non-borrower household members’ incomes, extending mortgage access to multi-generational households. It will also allow for current owners who rent a room or portion of their home for extra income, the money they receive from tenants would count as income if they decide to move.
- Homeownership Education – HomeReady™ will require borrowers to complete an online educational course call Frameworks that will prepare them for the home buying process and provide them with post-purchase support for the life of the loan.
- Lenders Benefits – HomeReady™ will feature new functionality for lenders like North Shore Trust and Savings through Desktop Underwriting to automatically flag potentially eligible loans and fully leverage Fannie Mae integrated suite of risk management tools for greater certainty and efficiency.
Help is available from North Shore Trust and Savings for home buyers to take advantage of HomeReady™ !!