With June having wrapped up as National Homeownership Month, Pacific Funding Mortgage Division (PFMD) wants to dispel the myths about owning a home.

“It’s a common myth that home buyers need to come up with a 20 percent down payment to buy a home,” PFMD founder Mike Moeller said. “The truth is, especially in an expensive market such as Southern California, buyers can purchase a home with as little as 3 percent down, thanks to our relationship with Freddie Mac.”

As an approved Freddie Mac seller/servicer, PFMD is eligible to offer the Home Possible® and Home Possible Advantage® mortgage loan programs, which allow borrowers to put down as little as 3 percent of a single-family home’s purchase price. In addition to low down payments, the programs give buyers the flexibility to use multiple sources of funds for the down payment as well. Freddie Mac makes homes possible for millions of families and individuals by purchasing the mortgages they originate.

“We talk with so many people who think that owning a home is almost impossible in this market, until they see what’s available through Freddie Mac’s programs,” Moeller said.

Eligible buyers under the Home Possible® program include first-time, move-up and downsizing homebuyers; those with low to moderate incomes; and buyers purchasing in underserved communities.

Highlights of the Home Possible® mortgage programs include:
• With a 97 percent loan-to-value ratio, one-unit homes as well as condos and planned unit developments are eligible
• No income limit for homes in underserved communities
• Flexible funding sources for down payments, including the buyer’s personal funds and gifts from relatives or friends.

In addition to flexible funding sources, there are also government-subsidized down-payment assistance programs available for eligible buyers, according to Freddie Mac. Those assistance programs include grants; second-mortgage loans, often with low- or zero-interest rates; and tax credits, funded by the U.S. Department of Housing and Urban Development through state and local organizations. More information is available at www.downpaymentresource.com.

“The biggest purchase someone will make shouldn’t seem unattainable,” Moeller said. “As a lender, it’s immensely rewarding for us to be able to help people achieve the dream of owning their own home.”

Pacific Funding Mortgage Division (PFMD), founded in 1995, is a direct lender to its loan clients, providing a variety of loan programs for purchases or refinances. Conventional, FHA, and reverse mortgages in addition to specialty VA, construction, and USDA programs are all available. Headquartered in Valencia, PFMD also has offices in Corona and Palmdale. Home of the 25-day close, PFMD is an approved Freddie Mac Seller/Servicer. Meet the PFMD team and learn more about their services at the company’s newly renovated website, www.pfmd.com.