Short answer
Home Possible is Freddie Mac's low down payment conventional loan for borrowers whose qualifying income is at or below 80 percent of the area median income where the home is. It works for 1 to 4 unit homes, condos, co-ops and planned communities, and some manufactured homes. The down payment can come from family, employer programs, secondary financing and even sweat equity.
How is the income limit checked?
Freddie Mac compares your qualifying income with the area median income for the property's location, and its online eligibility tool shows the limit for a specific address. There's no special geographic cap on the loan amount beyond normal conventional limits; see NH loan limits.
What makes it different?
- Flexible sources for your down payment and closing costs.
- Reduced mortgage insurance coverage on higher loan-to-value loans, which can lower the monthly cost.
- On a one-unit home, mortgage insurance can be canceled once you meet Freddie Mac's criteria.
- Caps on certain credit fees for eligible loans.
How does it compare with HomeReady?
They're similar. HomeReady is Fannie Mae's version with the same 80 percent of AMI income limit. Lenders can run your file through both agencies' systems to see which fits. See what is a HomeReady mortgage, the NH Housing guide and compare loan programs.
Is a homebuyer class required?
It can be, depending on who is buying. See where to take a homebuyer class in NH. Tom can tell you whether your file needs one.
Sources
Checked November 2, 2026. Rules and dates change, so confirm current details before you rely on them.
General information only, not tax or legal advice. Program availability, eligibility and terms vary by lender and are subject to change and to underwriting approval. Not a commitment to lend.