United Wholesale Mortgage (UWM) is now offering Freddie Mac's new Home Possible Mortgage program, which enables qualified first-time home buyers and lower-income borrowers to purchase homes with only a 3% down payment.
In addition, the program allows homeowners to refinance up to 97% loan-to-value, regardless of their existing loan type.
‘Freddie's Home Possible program opens up a lot of possibilities for borrowers, real estate agents and originators when it comes to home financing needs,’ says Mat Ishbia, president and CEO of UWM, in a release. ‘It allows our brokers and correspondents to reach more borrowers who are now eligible to refinance or purchase a new home.’
UWM says the program offers first-time home buyers a ‘better alternative’ than Federal Housing Administration (FHA) financing.
Another major advantage of Freddie Mac's new program is that it combines lower mortgage insurance premiums with loan-level price adjustment caps to minimize monthly payments.