Fannie Mae HomeReady
HomeReady is as low as 3% down-payment conventional loan for first-time and lower-income buyers. Think 3% down, more flexible rules, and a break on mortgage insurance.”
New perk: Fannie is giving a $2,500 credit (for a limited time) that can go toward down payment or closing costs for very low-income first-time buyers on certain loans in 2025–2026 Fannie Mae
Freddie Mac Home Possible
"Home Possible is Freddie Mac’s version of a starter-friendly loan: 3% down, flexible money sources, but you have to be within the income limits.”
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Renovation-friendly: FHA 203(k) loans
Lets you buy AND renovate with one FHA loan – the mortgage covers purchase price + rehab budget Investopedia+2NerdWallet+2
Must be your primary residence Investopedia+1
There’s a streamlined version for smaller projects and a standard version for big structural work NerdWallet+1
. “If you find a ‘fixer’ that needs love, an FHA 203(k) loan lets you wrap the purchase price and renovation costs into one mortgage and pay it back over time—no personal loans, no credit cards.”