This is a reduced down payment program with higher loan amounts. The program has a reduced down payment requirement in comparison to the standard 25% down for 3-4 units. Borrower must have previous landlord experience.
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| Credit score: | 620 minimum |
| Property type: | 3-4 Units |
| Occupancy: | Primary residence |
| Down Payment: | 20% minimum |
| Loan to Value: | 80% Max. CLTV: 80% |
| Gift Funds | Allowed. No minimum buyer contribution required |
| Closing cost: | Seller and/or lender can pay up to 6% |
| Debt Ratio: | 45% with compensating factors up to 50% |
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Additional Notes:
- Standard 3-4 Units – 25% Down, but program allows 20%
- Condos must be Freddie Mac approved
- Lender-paid closing cost available
- Unpermitted additions will not be given any value
- Bankruptcy 4 yrs, Foreclosure 7 yrs, Short Sale 4 yrs.
- First time buyer not required. Must be primary residence.
- Mortgage reserves may be required
- 75% market rent may be used to qualify
- Blended ratios acceptable with non-occupant co-borrower
- Borrower must have 2 year history managing rentals
This page contains program highlights only. See sidebar links for further information and details.