Bulletin 2024-009 HomeReady Plus $2500
Newrez LLC "Newrez" Approved Correspondent Clients; Fannie Mae has announced a temporary enhancement to the HomeReady product for very low-income purchase borrowers. A loan level pricing adjustment of $2500 will be applied to borrowers whose total qualifying income is less than or equal to 50% of the applicable area median income limit for the subject property’s location. The full amount of the credit must be provided directly to the borrower and applied to down payment or closing costs, including escrows and mortgage insurance premiums.
If all borrowers are first time homebuyers, at least one borrower must complete homeownership counseling. See below for details:
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$2500 credit |
Homeownership counseling must be completed prior to closing |
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$3000 credit |
Homeownership counseling must be completed prior to the sales contract |
Effective with locks on and after February 7, 2024 loans must be registered in one of the following products to support this LLPA:
- 2561 HomeReady Plus 30-Year Fixed Rate
- 2562 HomeReady Plus 30-Year w/Community 2nd
Please Note
- The total credit must be listed as a Grant in section L of the Final Closing Disclosure
- This temporary program will be eligible for delivery to Fannie Mae on or after March 1, 2024 thru February 28, 2025.
- The Plus is a Newrez designation for the enhancement to the HomeReady Product.