LTV/TLTV/HTLTV Ratio Requirements for Conforming Mortgages
NOTE: these maximum LTV/TLTV/HTLTV ratio requirements do not apply to super conforming mortgages. Please view requirements for super conforming mortgages.
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PURCHASE AND "NO CASH-OUT" REFINANCE MORTGAGES**
(Fixed-Rate and ARMs) ** See chart below for LTV/TLTV/HTLTV ratios and other requirements for a "no cash-out" refinance of a mortgage currently owned or securitized by Freddie Mac. |
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|---|---|---|---|---|
| Mortgage Purpose and Property Type | Max LTV w/o sec. fin. | Max LTV w/sec. fin. | Max TLTV w/sec. fin. | Max HTLTV w/sec. fin. |
| 1-unit Primary Residence | 95% | 90% | 95% | 95% |
| 2-4 unit Primary Residence | 80% | 75% | 80% | 80% |
| Second Home | 85% | 80% | 85% | 85% |
| Purchase transaction Mortgage secured by 1-unit Investment Property | 85% | 80% | 85% | 85% |
| "No cash-out" refinance Mortgage secured by 1-unit Investment Property | 75% | 70% | 75% | 75% |
| Purchase transaction Mortgage secured by 2-4 unit Investment Property | 75% | 70% | 75% | 75% |
| "No cash-out" refinance Mortgage secured by 2-4 unit Investment Property | 75% | 70% | 75% | 75% |
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Cash-Out Refinance Mortgages
(Fixed-Rate and ARMs) |
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|---|---|---|---|---|
| Property Type | Max LTV w/o sec. fin. | Max LTV w/sec. fin. | Max TLTV w/sec. fin. | Max HTLTV w/sec. fin. |
| 1-unit Primary Residence | 80% | 75% | 80% | 80% |
| 2-4 unit Primary Residence | 75% | 70% | 75% | 75% |
| Second Home | 75% | 70% | 75% | 75% |
| 1-unit Investment Property | 75% | 70% | 75% | 75% |
| 2-4 unit Investment Property | 70% | 65% | 70% | 70% |
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"NO CASH-OUT" REFINANCE MORTGAGES currently owned or securitized by Freddie Mac*
(Fixed-Rate and ARMs) *The LTV/TLTV/HTLTV ratios in this chart are only allowed with Mortgages originated in accordance with Section 24.5(c) of the Guide. |
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|---|---|---|---|---|
| Property Type | Max LTV w/o sec. fin. | Max LTV w/sec. fin. | Max TLTV w/sec. fin. | Max HTLTV w/sec. fin. |
| 1- to 2-unit Primary Residence | 95% | 90% | 95% | 95% |
| 3- to 4-unit Primary Residence | 80% | 75% | 80% | 80% |
| Second Home | 95% | 90% | 95% | 95% |
| 1- to 4-unit Investment Property | 75% | 70% | 75% | 75% |
Maximum LTV/TLTV/HTLTV ratios for certain mortgage products and property types listed below that vary from those shown above may be found in other sections of the Single-Family Seller Servicer Guide.
- Mortgages secured by a Manufactured Home – Guide Section H33.3(e)
- Home Possible® Mortgages – Guide Section A34.10
- Super conforming Mortgages – Guide Section L33.3(c)
- Mortgages to borrowers with a credit history that includes a previous mortgage foreclosure or a conveyance of a deed-in-lieu of foreclosure – Guide Section 37.7(d)
- Mortgages that use a Streamline Project Review – Guide Section 42.4
Note: Minimum Indicator Score requirements can be found in Exhibit 25, Mortgages with Risk Class and/or Minimum Indicator Score Requirements.