January 20, 2016
REMN Wholesale is pleased to announce the release of Fannie Mae’s HomeReady Mortgage, which has replaced the MyCommunityMortgage, effective immediately.
HomeReady has been designed for credit worthy, low-moderate income borrowers, with expanded eligibility for home financing in designated communities to support sustainable homeownership. Highlights of the program include:
- Low Down Payment Up to 97% LTV (HomeStyle Renovation up to 95% LTV).
- 1 Unit Purchase 97% LTV/105% CLTV with eligible Community Second
- 1 Unit Limited Cash Out 95% LTV/CLTV
- 2 Unit 85% LTV/CLTV
- 3-4 Unit 75% LTV/CLTV
- High Balance 1-4 Unit subject to standard FNMA High Balance LTV/CLTV limits
- Reduced MI Coverage Over 90% LTV supports competitive borrower payment with reduced MI coverage.
- Homeownership Education helps buyers get ready to buy a home and be prepared for the responsibilities of homeownership. This required training offers an easy-to-use, online course.
- Owner Occupancy Occupying borrowers may not own any other real estate at the time of closing. There is no first time homebuyer requirement.
- DU will automatically identify potentially eligible loans
- Underwriting flexibilities allows non-occupant borrower, non-borrower household member income can be considered as a compensating factor for DTI 45%-50%, permits rental income from an accessory dwelling unit, and allows boarder income.
- Approve/Eligible findings are required
- Purchases and Limited Cash Out refinances
- Income Limits based on Area Median Income
The following have been posted on the REMN Wholesale website for additional information:
- FNMA HomeReady Product Guidelines
HomeReady Mortgage approval requires use of DU version 9.3.
Approved MyCommunity Mortgages (MCM) will be honored with continued approval through DU version 9.2.
Please contact your Account Executive with any questions.