To qualify, at least one borrower must be a first-time homebuyer, meaning they haven’t owned a home in the past three years. You’ll also need a stable income, acceptable credit history, and meet standard conventional loan requirements.
No, one of the biggest advantages of the HomeOne program is its low down payment requirement. You can purchase a home with as little as 3% down, making it much more accessible compared to many traditional loan options.
Yes, private mortgage insurance (PMI) is required when putting down less than 20%. However, the good news is that PMI can be removed once you build enough equity in your home, helping reduce your monthly payments over time.
The Freddie Mac HomeOne loan is a conventional mortgage program backed by Freddie Mac that allows first-time homebuyers to purchase a home with as little as 3% down.
Unlike some government-backed loans, HomeOne is a conventional loan, which means it can offer competitive interest rates, flexible property options, and fewer restrictions in certain areas. It is specifically designed for borrowers who have stable income but may not have built up significant savings yet.
1. Low Down Payment Requirement
HomeOne allows you to purchase a home with just 3% down, making it one of the most affordable entry points into homeownership for conventional loans.
2. First-Time Homebuyer Focus
At least one borrower must be a first-time homebuyer, meaning you haven’t owned a home in the past three years.
3. Flexible Income Sources
You can qualify using various income types, including:
This flexibility makes it easier for modern buyers with diverse income streams.
4. No Geographic or Income Limits
Unlike some assistance programs, HomeOne® does not restrict you based on:
This gives you more freedom to choose the home and area that fits your lifestyle.
5. Private Mortgage Insurance (PMI) Options
Since the down payment is less than 20%, PMI is required. However:
6. Co-Borrower Flexibility
You can include a co-borrower (even if they don’t live in the home), which can strengthen your application and improve your approval chances.
1. Makes Homeownership More Accessible
The biggest advantage is simple — you don’t need years of savings to get started. A 3% down payment significantly lowers the entry barrier.
2. More Control Compared to Some Government Loans
Unlike FHA or VA loans, HomeOne gives you:
3. Ideal for Younger Buyers and Growing Families
If you are early in your career or planning your next stage of life, HomeOne® helps you:
4. Opportunity to Cancel PMI
As your home value increases and your loan balance decreases, you can remove PMI, which can make your monthly payments more affordable over time.
5. Works Well with Financial Planning
Homeownership is not just about buying a property. It is about building long-term financial stability. Programs like HomeOne help you take that first step while still leaving room to plan for other priorities like savings, protection, and future goals.
The Freddie Mac HomeOne loan is designed for people who are ready to own a home but may not have the traditional savings required for a large down payment. It combines affordability, flexibility, and accessibility into one program that supports first-time buyers in a practical way.
If you have been waiting for the “right time” to buy a home, this program might be the opportunity you need to move forward with confidence. With the right guidance and a clear understanding of your financial goals, stepping into homeownership can be simpler than you think.
