Select Smart

With many conventional mortgage loans, you need a 20% down payment to avoid paying mortgage insurance. But this doesn’t have to be the case! Experience the best of both worlds – don’t pay mortgage insurance or a large down payment – with the Select Smart program.


3% down payment:

The 3% down payment option is available for first-time homebuyers, Fannie Mae refinances, or for borrowers that meet HomeReady® requirements.* A 5% minimum down payment is required for all others.

  • 620 minimum FICO required
  • 1-2 unit primary residence
  • Maximum debt-to-income (DTI) is 50%
  • No mortgage insurance

Other options:

  • Second home purchase – 10% down payment
  • Investment home purchase – 15% down payment with 680 minimum FICO required

To compare home loans and find the perfect one for your needs, find a local loan originator in your area!


*HomeReady® has income restrictions and requires homeownership education. Geographical restrictions apply. Contact your loan originator to learn more.