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Tucson AZ HomeReady loan program, what is it and who does them

December 11th, 2019 4:41 PM by Nathan Rufty

HomeReady loan program in Tucson AZ is designed for creditworthy low-income borrowers, HomeReady® lets you lend with confidence while expanding access to credit and supporting sustainable homeownership.

Tucson AZ HomeReady loan program Key features include:

  • Affordable, conventional financing with cancellable mortgage insurance (restrictions apply)
  • Up to 97% loan-to-value (LTV) financing and flexible sources of funds
  • Innovative underwriting flexibilities that expand access to credit responsibly

Tucson AZ HomeReady loan program Features:

  • Financing up to 97% loan-to-value (LTV) for purchase of one-unit principal residence (Desktop Underwriter® (DU®) is required for LTV ratios >95%); up to 95% LTV for limited cash-out refi (LCOR) and up to 97% LTV for LCOR transactions in DU when the mortgage being refinanced is owned or guaranteed by Fannie Mae 
  • Borrower is not required to be a first-time buyer Cancellable mortgage insurance (restrictions apply); lower MI coverage (25% for LTVs >90% to 97%) compared with standard requirements
  • Gifts, grants, Community Seconds®, and cash-on-hand permitted as a source of funds for down payment and closing costs
  • Supports HomeStyle® Energy, HomeStyle® Renovation, MH Advantage®, and manufactured housing
  • Innovative underwriting flexibilities expand access to credit responsibly. Flexibilities include rental unit and boarder income, as well as non-occupant borrowers, such as parents.

Tucson AZ HomeReady loan program Benefits:

  • Low down payment: As low as 3% down payment for home purchase and refinance transactions.
  • Flexible sources of funds: Can be used for the down payment and closing costs with no minimum contribution required from the borrower’s own funds (1-unit).
  • Affordable and cancellable monthly MI: Reduced MI coverage requirement above 90% LTV; cancellable MI per Servicing Guide policy.
  • Homeownership education: The online Framework® course prepares borrowers for sustainable homeownership; other education and housing counseling options are available.
Posted by Nathan Rufty on December 11th, 2019 4:41 PM



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