How much down payment Freddie Mac CHOICERenovation® requires — 3% with Home Possible, 5% standard primary, 15% 2-unit, 20% 3–4 unit, 10% second home, 15% investment.
Freddie Mac CHOICERenovation® Down Payment Requirements | The 2 Mortgage Guys
How much down payment Freddie Mac CHOICERenovation® requires — 3% with Home Possible, 5% standard primary, 15% 2-unit, 20% 3–4 unit, 10% second home, 15% investment.
How Much Down Payment Is Required for a Freddie Mac CHOICERenovation® Loan?
Minimum Down Payment by Scenario
What Your Cash-to-Close Usually Covers
Home Possible® at 3% Down
Refinance: No Purchase Down Payment
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Frequently Asked Questions
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Primary Freddie Mac CHOICERenovation® purchases can allow as little as 3% down with Home Possible on a 1-unit primary — 5% standard — while 2-unit, 3–4 unit, second home, and investment properties require more equity against after-improved value.
Cash required on purchase — minimums are educational; credit, LTV, property type, and lender overlays can raise cash required.
Renovation funds typically go into escrow at closing — you are not wiring the full rehab budget as a separate check to the contractor on day one. Your bring-to-close cash is mainly equity, closing costs, and any reserves required after closing.
When you qualify for Freddie Mac Home Possible®, Freddie Mac CHOICERenovation® can be paired for eligible 1-unit primary purchases at up to 97% LTV — the lowest cash-in option on the program.
On rate/term refinance, there is no purchase down payment — but your existing equity must support the combined loan amount against after-improved value within LTV limits. Investment refinance stays at 85% LTV, same as purchase.
On primary Freddie Mac CHOICERenovation® loans under 20% equity, conventional PMI applies. Unlike FHA MIP, PMI can often be canceled once you reach the required equity milestones through paydown or appreciation after renovations complete.
Related Freddie Mac CHOICERenovation® guides and renovation programs to compare before you apply.
Use the Freddie Mac CHOICERenovation® calculator on the program hub or talk with Ryan & Steve for a scenario matched to your property and occupancy.
Freddie Mac CHOICERenovation® and Home Possible are registered trademarks of Freddie Mac. All loans are subject to credit and property approval. Program guidelines, LTV limits, and pricing are subject to change without notice and may not be available in all areas. This website is not affiliated with or endorsed by Freddie Mac, Fannie Mae, HUD, or any government agency. Information is for educational purposes only and is not a commitment to lend.