The Freddie Mac Answer To A Stuck Refinance.
Refi Possible is built for homeowners at or below the area median income whose loan is owned by Freddie Mac.
Quick answer
Saxton Mortgage does. At least one Refi Possible program we offer lists a 580 minimum credit score on a primary residence rate and term refinance. Your current loan must be owned or securitized by Freddie Mac, income must not exceed 100% of area median income, the new loan needs a rate drop of at least half a percentage point, and the borrowers on the new loan must be identical to the existing loan.
A refinance with the benefit written into the rules
Refi Possible has to lower both your rate and your payment to qualify.
- Current loan owned or securitized by Freddie Mac
- The mortgage you have now must be owned by Freddie Mac.
- Existing loan seasoned 12 to 120 months at one program*
- It must also reduce your monthly payment, including principal, interest and mortgage insurance.
- At least one original borrower must remain on the new note
- Cash to you capped at $250, with any excess applied to principal
Single-wide manufactured homes are eligible
Qualifying income capped at area median
Existing loan owned by Freddie Mac
Rate and payment must both drop
No asset statement under $500 to close
Single-family homes only
What is the Saxton Refi Possible Refinance?
Freddie Mac’s refinance for households the standard process tends to leave behind.
Refi Possible is Freddie Mac’s program for homeowners on a modest income who would benefit from refinancing but keep running into the cost and the qualifying rules. It is a conventional refinance, and the difference is that the program will not let the new loan be a lateral move.
To be eligible, the refinance has to lower your interest rate by at least half a percentage point, and it has to reduce your monthly payment once principal, interest and mortgage insurance are all counted. Both conditions, not one. That is unusual, and it is the point of the program.
It applies to primary residences that are single-family attached or detached homes. Two- to four-unit properties are outside it. Your income needs to be at or below the area median where you live, and Freddie Mac needs to own your current mortgage, which is something we can confirm quickly.
Why choose the Saxton Refi Possible Refinance?
For owners whose current loan is with Freddie Mac and whose income sits at or below the local median.
Improvement Is The Rule
The program is designed so that a refinance which does not clearly help you is not an eligible refinance at all.
Income Limit Works For You
Being at or below the area median income is what qualifies you here, rather than something you have to overcome.
Rate And Payment Together
Half a percentage point off the rate, and a lower monthly payment with mortgage insurance included. Both have to be true.
The Freddie Mac Counterpart
If your loan is owned by Fannie Mae instead, RefiNow is the equivalent. We check which applies before going further.
A Quick First Check
Confirming who owns your loan takes very little time, and it decides whether this conversation is worth having.
Two Programs, One Question
Whether Refi Possible or RefiNow applies comes down to who owns your current mortgage, and that is the first thing we look up.
Hear From Homeowners Like You
Frequently Asked Questions
Straight answers about the Refi Possible program.
Saxton Retail Mortgage arranges Freddie Mac Refi Possible refinances for homeowners whose current loan Freddie Mac owns. The new loan needs LPA Accept findings that indicate Refi Possible, and manual underwriting is not permitted.
The Freddie Mac Loan Lookup tool shows whether Freddie Mac owns your mortgage, which Refi Possible requires. If the lookup points to Fannie Mae instead, RefiNow is the program that matches your loan.
Refi Possible belongs to Freddie Mac and RefiNow to Fannie Mae, so whichever agency owns your current loan decides the program. Refi Possible is underwritten through LPA, keeps at least one borrower from the old loan, and one program even accepts single-wide manufactured homes for it*.
Refi Possible requires your interest rate to drop by at least 50 basis points, which is half a percentage point. Your monthly principal, interest and mortgage insurance payment must go down as well.
Yes, Refi Possible requires a smaller monthly payment counting principal, interest and any mortgage insurance, on top of the rate reduction. Freddie Mac’s version does not permit temporary buydowns, so the savings must come from the new note itself.
Your total income must be at or below the area median income figure published for your area, so the exact threshold depends on where the home is.
No, Refi Possible only refinances your primary residence. Someone on the note who lives elsewhere may stay on at one program, as long as that person was already on the existing loan’s note*.
No, one program states that Refi Possible is unavailable on 2- to 4-unit properties*. Single-unit homes, condos, PUDs, modular homes and manufactured housing all work, but co-ops, condo hotels and non-warrantable condo units do not.
AMI stands for area median income, the midpoint income for the area where the property sits. Refi Possible is aimed at homeowners whose total qualifying income is at or below 100% of the AMI for that location, so the figure depends on the address rather than on one national number.
Yes, Refi Possible is a no cash-out refinance: proceeds pay off the Freddie Mac first mortgage and loan-related closing costs and points, and cash to you cannot exceed $250 at one program*. Second liens are not paid from the proceeds, though they may stay if resubordinated.
Find out what you qualify for
If Freddie Mac owns your mortgage and your income is at or below the area median, this may be the refinance that finally makes sense. Let us check.
Get Pre-Qualified*Loan amounts, rates, terms, and eligibility are subject to credit approval, income and asset verification, and program guidelines. Refi Possible requires the existing loan to be owned by Freddie Mac, borrower income at or below the applicable area median income, and a resulting reduction in both interest rate and monthly payment. Primary residence only. Not all applicants will qualify. Saxton Mortgage, LLC is an Equal Housing Lender.