PennyMac is pleased to announce the release of Fannie Mae’s HomeReady and Freddie Mac’s Home Possible programs along with expansion of the Best Efforts program to allow a 75 day commitment period.
Effective with all commitments taken on or after May 22, 2017, the aforementioned product updates will be available. Program highlights include:
Fannie Mae HomeReady
- Up to 97% LTV
- 50% DTI maximum
- 30 year-fixed rate term only
- Reduced MI coverage
- Flexible income sources are allowed, including income from boarders and household members who are not a party to the note
- Cash-on-hand as an acceptable source of funds
- Required homeownership education or counseling
Freddie Mac Home Possible
- Up to 97% LTV with Home Possible Advantage
- 50% DTI maximum
- 30 year-fixed rate term only
- Reduced MI coverage
- Flexible income sources are allowed, including income from boarders
- Cash-on-hand as an acceptable source of funds
- Required homeownership education or counseling when all borrowers are first-time homebuyers
Please see the HomeReady and Home Possible Product Profiles for complete details.
Commitment Availability
*For bulk commitments, please identify respective programs using the following convention: HomeReady, Home Possible, or Home Possible Advantage
75 Day Best Efforts commitments will be available on the rate sheet and selectable in the Correspondent Portal.
Rate Sheets
A sample of the updated rate sheet will be posted to the PennyMac Portal after 6:00 PM (PT) on Monday, May 8th, 2017. Sample rate sheets will be available for download shortly after the email notification is sent from ‘PennyMac Correspondent Pricing Send email to ["donotreply"]..
Note: Sample rate sheets are intended for communication only. Rate sheets posted the following business morning will be effective for new commitments.
Please contact your Sales Representative with any questions.