Finally, home-buying programs that see the potential in all of us.
Couple holding “Our first home” sign: We did it

Start packing — because buying a house just became more promising! People with limited income often have limited opportunity when it comes to purchasing a home. Luckily, that’s changing. Now, there are two home-buying programs designed for low-income borrowers — because everyone deserves a home of their own.

Fannie Mae’s HomeReady® mortgage was built with today’s homebuyers in mind. It’s not easy to save for a down payment, especially with limited income. With HomeReady, you can put down as little as 3%, and the cash can come from multiple sources, including gifts, grants, and down payment assistance (DPA) programs, with no minimum personal funds required. And don’t worry, perfect credit scores aren’t necessary either.

Freddie Mac’s Home Possible® mortgage offers more options and credit flexibility than ever before. In addition to its low down payment of only 3%, do-it-yourselfers can apply sweat equity to assist in meeting their down payment and closing costs.

HomeReady® highlights

  • Low-income borrowers
  • First-time homebuyers
  • Down payments as low as 3% for single-family residences
  • Acceptable sources for down payment include gifts, grants, and down payment assistance (DPA) programs/Community Seconds®
  • Supplemental boarder or rental income may be used as qualifying income
  • FICO® Score of 620 or above
  • Competitive pricing is better than or equal to Fannie Mae’s standard loan pricing
  • Reduced mortgage insurance (MI) possible with area median income (AMI) under 80%. MI can be cancelled once borrower’s equity reaches 20% (restrictions apply)
  • If all borrowers are first-time homebuyers, at least one borrower is required to take homeownership education from an agency-approved provider

Home Ready by Fannie Mae and Freddie Mac Logos

Home Possible® highlights

  • No income limits in low-income census tracts, and otherwise limited to 100% area median income (AMI). No geographic limits on loan amounts
  • Down payments as low as 3% for single-family residences
  • Acceptable sources for down payment include family, employer-assistance programs, secondary financing, and sweat equity
  • Co-borrowers who do not live in the home are acceptable for one-unit residence
  • FICO® Score of 620 or above
  • 1-4 unit properties, condos, and planned-unit developments are eligible. Manufactured homes are eligible with certain restrictions
  • Reduced mortgage insurance (MI) possible with area median income (AMI) under 80%. MI can be cancelled once borrower’s equity reaches 20% (restrictions apply)
  • If all borrowers are first-time homebuyers, at least one borrower is required to take homeownership education from an agency-approved provider

Home Possible® features are subject to additional requirements in our Single-Family Seller/Servicer Guide.

View Program Disclosures>>

Frequently asked questions

What is the difference between Embrace, my local bank, and a broker?

In short: no middle man. As a direct lender for Fannie Mae, Freddie Mac, and an approved issuer for Ginnie Mae, we underwrite our loans. We are not a broker or a lead reseller and we never take your call and then pass your application off to someone else. Your Embrace Home Loans Mortgage Specialist works directly with you through the entire loan process — from beginning to end. This kind of personalized service means we can truly get to know you, and provide impeccable service that perfectly fits your needs. It also means we can offer better interest rates and terms — all while keeping you completely informed with real-time, up-to-the-minute information regarding your loan. There’s simply no better way to go through the mortgage process.
For more than 36 years we’ve been helping tens of thousands of people just like you purchase new homes, refinance existing mortgages, and consolidate high-interest debt. CONTACT US now to find out how we can help you make your dreams a reality.
Everyone's financial situation is different, so it’s important to figure out what you can comfortably afford to borrow, which depends on four factors:
  • Your debt-to-income ratio (your total monthly payments as a percentage of your gross monthly income)
  • Cash you have available for a down payment and closing costs
  • Your credit history
  • The value of the home you’re buying
How much home can YOU afford? Use our handy mortgage calculator and find out!

Yes you can!  Please use the following link to make payments. If you do not have an account you must create one the first time.

You can view the status of your loan at any time by logging into our Client Portal. We recommend saving this link in your web browser for future use, but you can always find the link here or in past emails from your Embrace loan officer.
"Sam and his team were very helpful and communicated well. Once all of the documents were received, the rest of the process was a breeze." - Angel, VA
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HomeReady®/Home Possible® Assumption:
A $200,000 fixed-rate loan (after 3% down payment) with a 30-year term, 3% interest rate, and $1155 in prepaid finance charges would have an APR of 3.256% and monthly payment of $909.88. Monthly payment includes principal, interest, and mortgage insurance, but does not include taxes, other types of insurance premiums, and certain other fees, which will result in a higher monthly payment. Monthly mortgage insurance will be charged until the loan-to-value ratio (LTV) is below 80%. Terms are subject to change without notice or may not be available at the time of application. Loan amount restrictions may apply in certain areas.