The New Hampshire Housing Finance Authority (NHHFA) has proven to be a great resource for homebuyers looking for a broad range of flexible and affordable homeownership programs. Since its inception in 1981, more than 39,000 Granite State residents have used one of NHHFA’s mortgage programs to purchase their own homes—the most popular of which is the Home Flex Plus program that offers a 3% down payment option for a single family home and no mortgage insurance, among other features. Other options allow for as little as 1% down payment from the borrower’s own funds or a 5% down payment for a 2–4 unit multi-unit home.
But the NHHFA isn’t the only solution for cash-strapped borrowers looking for a way to own a home.
Blue Water Mortgage offers a comparable 3% lender credit, as well as a lower interest rate compared to the NHHFA rate. In addition, mortgage products offered by Blue Water come with no additional income restrictions in order to qualify and the underwriting process can generally happen much faster. First time home buyers looking for an alternative to the NHHFA should look to Fannie Mae and Freddie Mac’s 3% down programs.
Both Fannie Mae and Freddie Mac also offer a 3% down program for FTHBs that can rival NH Housing Finance Authority’s program. In addition, both Freddie Mac’s Loan Prospector (LP) and Fannie Mae’s Desktop Underwriter (DU) automated underwriting system are now able to offer reduced mortgage insurance at the broker level.