Very Low Income Header

VLIP Program

The VLIP programs leverage Fannie Mae’s HomeReady and Freddie Mac’s Home Possible programs to provide a $2,500 credit to lower down payment or closing costs.

To qualify for these programs, the following criteria must be met:

  • Purchase transactions only.
  • Income must not exceed 50% of the area median income (AMI) for the location of the property.
  • Must have a credit score of at least 620.
  • At least one borrower must complete an online homeownership education course when all occupying borrowers are first-time homebuyers.
  • The property must be a one- to four-unit primary residence, a condominium, a cooperative, a manufactured home, or a planned unit development.
  • The LTV ratio must not exceed 97%.

What are the benefits of the VLIP program?

  • You can save money on your down payment and closing costs with the $2,500 credit.
  • You can use the credit to help satisfy your minimum contribution requirement, which is 3% for Fannie Mae HomeReady and 3% or 5% for Freddie Mac Home Possible, depending on the property type and loan-to-value (LTV) ratio.
  • You can learn how to prepare for and sustain homeownership with online education and counseling.

If you think a VLIP loan program may be right for you, you can apply here! In the meantime, if you have any questions about Conventional Loans, please don’t hesitate to reach out to one of our Loan Officers for help.