What is Fannie Mae My Community mortgage?

The MyCommunity Mortgage® is a Fannie Mae 3% down payment affordable lending program that gives borrowers access to flexible underwriting guidelines and reduced private mortgage insurance (PMI) coverage for moderate income home buyers in California.

Can I get a mortgage directly from Fannie Mae?

Because Fannie Mae doesn’t originate loans, you can’t get your mortgage directly from Fannie. Banks and non-bank lenders like Rocket Mortgage® are responsible for collecting a client’s application, underwriting the loan – by verifying income, assets and property value – and getting them to the closing table.

What loans does Fannie Mae purchase?

At Fannie Mae, we provide liquidity to the single-family market by purchasing and guaranteeing mortgage loans made by lenders and issuing debt securities and mortgage-backed securities that attract global investors to finance U.S. housing.

How do I know if my loan is Fannie Mae or Freddie Mac?

Fannie Mae can be reached at 800-232-6643 or Fannie Mae’s website​. Freddie Mac can be reached at 800-373-3343 or Freddie Mac’s website.

Is it good to have a Fannie Mae loan?

Fannie and Freddie loans have competitive interest rates and low down payment options. But the biggest benefit of Fannie and Freddie loans: They are the mortgages most lenders prefer to make. There is a ready market where lenders can sell the loans, earn a profit and gain more capital to make additional loans.

Is Fannie Mae an FHA loan?

The difference between a FHA and Fannie Mae loans are that the FHA insured loan is a loan by The US Federal Housing Administration mortgage insurance backed mortgage loan that is provided by a approved lender.

What credit score do you need for Fannie Mae HomePath?

Fannie Mae offers financing for HomePath properties through its network of approved mortgage lenders. In general, Fannie Mae requires a minimum FICO credit score of 620 to qualify for its mortgage loans, but the qualifying requirements may vary according to down payment amount and individual home buyer circumstances.

Why do banks sell mortgages to Fannie Mae?

By purchasing mortgages, Fannie Mae and Freddie Mac enable lenders to make more loans. With more lending money available, consumers keep buying homes, and the real estate market stays afloat. In addition, these companies take worldwide investor money and place it into the US housing market.

Is FHA Fannie or Freddie?

Frequently asked questions about Fannie Mae and Freddie Mac Is Fannie Mae the FHA? No. The Federal Housing Administration is a government agency that insures loans made by lenders to borrowers with low to moderate incomes.

What is the difference between a Fannie Mae loan and a conventional loan?

Fannie Mae and Freddie Mac are government-created enterprises that buy mortgages from lenders and hold the mortgages or turn them into mortgage-backed securities. Conventional loans are available at fixed rates and ARMs. Common loan terms for conventional loans and most other types of mortgages range 10 – 30 years.

Is FHA or Fannie Mae better?

The key comparisons of the loans are that a FHA loan has a lower credit score requirement that is lower to qualify and a 3.5 percent down payment which may be less than a Fannie Mae loan. The Fannie Mae loan has a higher credit score requirement at 620 to 640 which is higher than the FHA loan.