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LTV/TLTV/HTLTV Ratio Requirements for Conforming Mortgages

Important Note

This page reflects the changes we announced in Single-Family Seller/Servicer Guide Bulletin 2016-3 effective for mortgages with settlement dates on or after March 28, 2016.

(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.
Mortgage Purpose and Property TypeMaximum LTV/TLTV/HTLTV Ratio
1-unit Primary Residence 95%
2-4 unit Primary Residence 80%
Second Home 85%
1-unit Investment Property 85%
2-4 unit Investment Property 75%


Cash-Out Refinance Mortgages
(Fixed-Rate and ARMs)
Property TypeMaximum LTV/TLTV/HTLTV Ratio
1-unit Primary Residence 80%
2-4 unit Primary Residence 75%
Second Home 75%
1-unit Investment Property 75%
2-4 unit Investment Property 70%


"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 4301.4(c) of the Guide.
Property TypeMaximum LTV/TLTV/HTLTV
1- to 2-unit Primary Residence 95%
3- to 4-unit Primary Residence 80%
Second Home 95%
1-unit Investment Property 85%
2- to 4-unit Investment Property 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 5703.3 (e)
  • Home Possible® Mortgages – Guide Section 4501.10
  • 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 5202.5 (a)
  • Mortgages that use a Streamline Project Review – Guide Section 5701.4

Note: Minimum Indicator Score requirements can be found in Exhibit 25, Mortgages with Risk Class and/or Minimum Indicator Score Requirements.

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