Freddie Mac Home Possible Mortgage
Jul 03, 2023 By Susan Kelly

Are you a first-time homebuyer looking for an affordable mortgage option that can help make your dream of homeownership come true? Or maybe you’re a homeowner needing to refinance their existing loan and take advantage of the current low interest rates. If so, then Freddie Mac’s Home Possible Mortgage program may be exactly what you need! This innovative program offers eligible borrowers with below average credit scores access to competitively priced mortgages without requiring private mortgage insurance (PMI).

Read on to learn more about!

  • how Home Possible Mortgages work,
  • the eligibility requirements,
  • how this program could benefit homeowners like yourself.

Overview of Freddie Mac’s Home Possible Mortgage program:

Freddie Mac's Home Possible Mortgage program is designed to provide a helping hand to anyone aspiring to own a home. The program offers flexible credit guidelines and down payment options, making it easier for borrowers to qualify. Home Possible also allows the use of gift funds or grants for the down payment and closing costs, which can be a game-changer for those who don't have enough savings to cover the expenses.

Another plus of the program is the fact that it offers reduced mortgage insurance coverage, making the monthly payments more affordable. All in all, Home Possible could be an attractive option for anyone looking to make their homeownership dreams a reality.

Eligibility requirements for the program:

If you're considering applying for a program, it's important to know if you meet the eligibility requirements. These requirements often vary from program to program and can include factors such as age, residency status, income, and educational background.

It's essential to carefully review these requirements before applying to ensure that you meet each criterion. While it may be discouraging to discover that you don't meet a requirement, it's better to know upfront so that you can explore other options. With careful research and preparation, you can find a program that suits your needs and qualifications.

How to apply for a Freddie Mac Home Possible Mortgage?

Becoming a homeowner is a monumental moment in anyone's life, but the process of acquiring a mortgage can seem daunting. Luckily, the Freddie Mac Home Possible Mortgage program is designed to make the application process as simple as possible. Essentially, the program provides lenders with a way to serve low to moderate income borrowers who may have limited funds for a down payment and/or closing costs.

If you're interested in applying for this type of mortgage, there are a few key steps you'll need to follow. But don't worry, we'll break everything down so you can feel confident in your decision to become a homeowner. With a little bit of preparation and patience, you'll be on your way to owning your dream home in no time.

Benefits of using a Freddie Mac Home Possible Mortgage:

Are you tired of struggling to find a way to qualify for a mortgage? Look no further than the Freddie Mac Home Possible Mortgage. This loan option offers a range of benefits for low to moderate income borrowers, including lower down payment requirements and flexible credit guidelines.

With Home Possible, qualifying for a mortgage can be a reality for many who previously thought it was out of reach. Beyond that, this mortgage has built in protections for lenders and borrowers alike, making the process smoother and more secure for all involved. Investing in your dream home has never been easier with the added peace of mind that comes with a Freddie Mac Home Possible Mortgage.

Tips for getting the most out of your Freddie Mac:

Getting the most out of your Freddie Mac Home Possible Mortgage can help ensure that you get into the house of your dreams without breaking the bank. To that end,

here are seven tips to consider when applying for this type of loan:

1. Do research on different types of mortgage products and find one with the best terms for you.

2. Shop around and compare rates to get the best deal.

3. Consider getting pre-approved for a loan so you know what kind of budget you have to work with.

4. Make sure your credit score is in good standing before applying.

5. Secure a down payment as soon as possible to increase your chances of getting approved for a loan.

6. Be sure to read all the fine print and understand the terms of your loan before you sign on the dotted line.

7. Carefully review your budget and make sure you can afford a mortgage payment each month before committing to a loan.

Following these tips can help ensure that you get the most out of your Freddie Mac Home Possible Mortgage

Common mistakes to avoid when applying for a Freddie Mac:

Applying for a Freddie Mac Home Possible Mortgage can be a smart way to make your dream of homeownership a reality. However, with any home loan comes a laundry list of things to be mindful of throughout the application process. Knowing which mistakes to avoid can not only save you time but can also help increase your chances of approval.

Some common missteps to avoid include

  • neglecting to check your credit score beforehand,
  • failing to fully disclose your financial information,
  • not shopping around for the best mortgage rate.

Overall, it's crucial to do your research, understand the requirements of the loan program, and work with a knowledgeable mortgage professional to ensure a smooth and successful mortgage application experience.


Overall, the Freddie Mac Home Possible Mortgage Program is an excellent way for buyers to purchase their dream home without spending a fortune. With competitive rates and low down payments, it’s clear why this program is so popular with home buyers. Furthermore, knowing the details of the program is key to getting the most out of your loan. For interested borrowers, some critical considerations before applying for a Home Possible Mortgage include researching your credit scores, crunching some numbers beforehand to make sure you can afford the loan, and being prepared with the necessary paperwork to go over all of your options.


What is the purpose of Freddie Mac?

The purpose of Freddie Mac is to provide liquidity, stability, and affordability to the U.S. housing market by purchasing mortgages from lenders and selling them as securities on the secondary mortgage market.

What is the difference between Freddie Mac and FHA?

The main difference between Freddie Mac and the Federal Housing Administration (FHA) is that Freddie Mac is a government-sponsored enterprise, while FHA is a government agency.

What are the requirements for a Home Possible Mortgage?

The primary requirements for a Home Possible mortgage are that the borrower must be a first-time homebuyer, have an income at or below 80% of the area median income, and purchase a property in an eligible area.