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Home Possible Eligibility Updated Nationwide

June 13, 2017

This morning, Loan Product Advisor® was updated to reflect the 2017 area median income (AMI) levels. The AMIs determine the income eligibility standards for our Freddie Mac Home Possible® low down payment mortgages.

What This Means for You

With AMIs changing in over 99 percent of the counties in the U.S. and its territories, it’s likely that Home Possible eligibility was impacted in the areas you serve: 

  • If the AMI went up in an area: The AMI went up in over 80 percent of the census tracts in the country. If you serve one of these areas, that means many customers who did not meet Home Possible income requirements yesterday may be eligible today.
  • If the AMI went down in an area: Fewer borrowers in the area will be eligible for Home Possible mortgages going forward, but we’ve got you covered. Freddie Mac will purchase Home Possible mortgages that received an "Accept-Eligible" in Loan Product Advisor prior to the update, and which are now receiving an "Accept-Ineligible" due to income requirements. See Single-Family Seller/Servicer Guide (Guide) Bulletin 2017-8 for details.

You’re encouraged to use our Home Possible Income and Property Eligibility tool to see new income limits in the areas you serve and explore the opportunities to offer the value of Home Possible mortgages to your borrowers.

A Special Note About Disaster Areas

Freddie Mac waives income requirements for Home Possible mortgages in federally designated disaster areas. This year, there are several areas where the designation is expiring, including regions of Illinois, Colorado and Alaska. The new income limits in these regions are now in effect. While this will affect eligibility moving forward, we will honor "Accept-Eligible" results received in Loan Product Advisor prior to this AMI update.