For many aspiring homeowners, the biggest challenge is saving for a down payment. Recognizing this barrier, Flatwater Mortgage, LLC has developed the One+ Loan Program to make homeownership more accessible and affordable for qualifying buyers. With just a 1% down payment required from the buyer and an additional 2% provided as down payment assistance, the One+ loan is designed to ease the financial burden on homebuyers who may not have substantial savings. This loan program is an innovative solution to help buyers get into homes without the need for extensive upfront costs.
Client will be required to pay a 1% down payment, with the ability to pay a maximum of 3%, and Rocket Mortgage will cover an additional 2% of the client’s purchase price as a down payment, or $2,000. Maximum grant amount is $7,000. Offer valid on primary residence, conventional loan products only. Maximum loan amount of $350,000. Cost of mortgage insurance premium passed through to client effective January 2, 2024. Offer valid only for home buyers when qualifying income is less than or equal to 80% area median income based on county where property is located. Not available with any other discounts or promotions and cannot be retroactively applied to previously closed loans or loans that have a locked rate. This is not a commitment to lend. Rocket Mortgage reserves the right to cancel/modify this offer at any time. Additional restrictions/conditions may apply.
The One+ program works by reducing the down payment burden on buyers. Typically, conventional loans require a minimum of 3% down. With the One+ program, Flatwater Mortgage, LLC helps buyers by contributing 2% toward the down payment, leaving the buyer responsible for only 1%. This loan is particularly helpful for first-time homebuyers or those who may have struggled to save for a traditional down payment.
The One+ program is available to qualifying buyers who meet specific income requirements. This program primarily targets individuals or families with low to moderate incomes, typically those earning less than 80% of the area median income (AMI). The purpose of this restriction is to ensure that the program is focused on helping those who need the most financial assistance to enter the housing market.
Additionally, buyers must meet standard credit score and debt-to-income ratio requirements, as with any conventional loan. Buyers with stable employment histories and good credit scores will find the process smoother, but Flatwater Mortgage, LLC also offers guidance to those who may need help improving their financial standing before applying.
One of the major advantages of the One+ loan program is the elimination of PMI, which can result in significant monthly savings. In a traditional loan with less than 20% down, buyers would need to pay PMI, which could range from $100 to $500 or more, depending on the loan size and other factors. By waiving this requirement, Flatwater Mortgage, LLC allows One+ borrowers to allocate their resources elsewhere, such as towards home improvements or paying down other debts.
Another benefit is that the program makes homeownership possible for buyers who may not have qualified for a conventional loan otherwise. The reduced down payment requirement lowers the barrier to entry, allowing more buyers to get their foot in the door. Buyers who might have spent years saving for a larger down payment can now purchase sooner, gaining equity in a home more quickly.