Is Home Possible a Freddie Mac program?

Yes. Home Possible is Freddie Mac's affordable conventional mortgage product, delivered through approved lenders and sold to Freddie Mac for guaranty. The Fannie Mae equivalent is HomeReady.

What is the income limit for Home Possible?

Borrower qualifying income must be at or below 80 percent of the area median income for the property's location. Freddie Mac publishes an AMI lookup tool for eligibility checks.

How much down payment does Home Possible require?

As little as 3 percent. There is no minimum borrower contribution from personal funds; down payments can come entirely from gifts, grants, employer assistance, or Affordable Seconds.

What is Home Possible Advantage?

Home Possible Advantage is the branding historically used for the 97 percent LTV (3 percent down) execution within the Home Possible program family; today the offerings are presented under the unified Home Possible name.

Do I need homebuyer education?

First-time homebuyers using Home Possible must complete an approved homeownership education course, provided through Freddie Mac's approved providers.

Finance & Fintech

Who Owns Home Possible?

Home Possible is the affordable conventional mortgage product of Freddie Mac (Federal Home Loan Mortgage Corporation, OTCQB: FMCC), launched in 2015 as the counterpart to Fannie Mae's HomeReady. It allows down payments as low as 3 percent for borrowers earning up to 80 percent of area median income, accepts gifts, grants, and Affordable Seconds as down payment sources, and requires homeownership education for first-time buyers. The product supports Freddie Mac's "make home possible" affordability mission under FHFA conservatorship.

Parent Company

Federal Home Loan Mortgage Corporation (Freddie Mac)

Founded

2015

Status

Publicly Traded

Headquarters

McLean, Virginia, USA

Home Possible Timeline

1970

Federal Home Loan Mortgage Corporation (Freddie Mac)

Parent company established in McLean, Virginia, USA

Company Founded

2015

Home Possible

Founded by Freddie Mac

Founded

mass marketmarket leaderUnited Statesall-consumersOfficial Website

Who Owns Home Possible?

Parent Company: Federal Home Loan Mortgage Corporation (Freddie Mac)
Ownership Type: Wholly owned
Company Type: Publicly Traded
Stock Ticker: OTC: FMCC

Brand	Parent Company	Ownership Type
Home Possible	Federal Home Loan Mortgage Corporation (Freddie Mac)	Wholly owned

History of Home Possible

Founded: 2015
Founders: Freddie Mac

Freddie Mac launched Home Possible in 2015 during the same policy push that produced Fannie Mae's HomeReady: FHFA Director Mel Watt's December 2014 announcement that both GSEs would offer 97 percent loan-to-value products for creditworthy borrowers who lacked large down payments. Home Possible consolidated and replaced Freddie Mac's earlier affordable offerings into a single brand.

The product evolved through subsequent Guide updates: income eligibility moved to an 80 percent AMI cap to focus on low- and moderate-income borrowers; sweat equity, resale-restricted, and manufactured housing eligibility were added for specific program variants; and rental payment history was incorporated into Loan Product Advisor underwriting to expand access for borrowers with thin credit files.

Freddie Mac has positioned Home Possible as the flagship of its affordability mission, pairing it with HFA Advantage (for state housing finance agency loans) and the BorrowSmart down payment assistance program. In 2025, approximately 400,000 first-time homebuyers purchased homes through Freddie Mac-financed mortgages, with Home Possible serving as the central affordable product.

About Federal Home Loan Mortgage Corporation (Freddie Mac)

What does Freddie Mac own?
Freddie Mac does not own consumer brands in the traditional sense. The company owns mortgage products and programs, including Home Possible, HomeOne, Loan Product Advisor, Freddie Mac Multifamily, CHOICERenovation, and CHOICEHome. These products are used by lenders to originate and securitize mortgages. Freddie Mac's total mortgage portfolio reached $3.7 trillion by mid-2026.

Is Freddie Mac publicly traded?
Freddie Mac's common stock (FMCC) and preferred stock trade on the OTC markets, but the company has been under FHFA conservatorship since 2008. The common and preferred shares have limited economic rights under conservatorship, and the U.S. Treasury's senior preferred stock takes priority. The stock is not listed on a major exchange like the NYSE or Nasdaq.

Who founded Freddie Mac?
Freddie Mac was not founded by an individual. It was created by the U.S. Congress through the Emergency Home Finance Act of 1970. The company was established to expand the secondary mortgage market and provide competition for Fannie Mae. Congress reorganized Freddie Mac as a shareholder-owned corporation in 1989 under FIRREA.

Where is Freddie Mac headquartered?
Freddie Mac is headquartered in McLean, Virginia, USA. The company has maintained its McLean headquarters since its early years. McLean is in Fairfax County, Virginia, near Washington, D.C., which is appropriate given Freddie Mac's status as a government-sponsored enterprise under federal oversight.

How many brands does Freddie Mac own?
Freddie Mac operates one core brand with multiple specialized product lines. These include Home Possible, HomeOne, Loan Product Advisor, Freddie Mac Multifamily, CHOICERenovation, and CHOICEHome. The company does not own a portfolio of distinct consumer brands because its customers are lenders, not consumers.

Who owns Freddie Mac?
Freddie Mac's ownership is complex. The company has been under conservatorship of the Federal Housing Finance Agency (FHFA) since September 2008. The U.S. Treasury holds senior preferred stock representing the government's financial stake. Common stock (FMCC) trades on OTC markets but has limited economic rights under conservatorship. The FHFA appoints the company's board of directors. William J. Pulte, Director of the FHFA, serves as Chairman of the Board.

What is Freddie Mac's net income?
In FY2025, Freddie Mac reported net income of $10.7 billion on net revenues of $23.3 billion. In Q2 2026, the company reported net income of $3.8 billion, up 61 percent year-over-year. The company's net worth reached $77.8 billion as of June 30, 2026.

What is the difference between Freddie Mac and Fannie Mae?
Freddie Mac (Federal Home Loan Mortgage Corporation, 1970) and Fannie Mae (Federal National Mortgage Association, 1938) are both GSEs that operate in the secondary mortgage market. Freddie Mac was originally created to purchase mortgages from savings institutions, while Fannie Mae primarily purchased mortgages from commercial banks. Today, both companies operate in similar markets and are under FHFA conservatorship since September 2008. Together they guarantee approximately 70 percent of new U.S. mortgage originations.

Founded: 1970
Headquarters: McLean, Virginia, USA
Company Type: Publicly Traded
Stock: OTC: FMCC
Revenue: $23.3 billion net revenues (FY2025)
Employees: approximately 7,000

Visit Federal Home Loan Mortgage Corporation (Freddie Mac) website

View full company profile for Federal Home Loan Mortgage Corporation (Freddie Mac)

Where Is Home Possible Made / Based?

Headquarters: McLean, Virginia, USA

Home Possible Categories & Tags

Mortgage Affordable Housing First Time Buyers Conventional Loans American Brand

Home Possible Sustainability & Ethics

Home Possible operationalizes Freddie Mac's affordability mandate, targeting low-income borrowers, underserved markets, and rural housing. The required homeownership education (delivered through approved providers) is designed to improve first-time buyer outcomes and reduce default risk.

The product supports Freddie Mac's equitable housing finance plans aimed at narrowing racial homeownership gaps, and provides the delivery channel for special purpose credit programs offered by participating lenders.

Awards & Recognition

Home Possible is cited by housing policy organizations including the Urban Institute and housing finance researchers as a model for responsible low-down-payment conventional lending. Freddie Mac's broader affordability programs were recognized in FHFA reporting for helping approximately 400,000 first-time buyers achieve homeownership in 2025.

Home Possible Recalls & Controversies

Credit Access Debate: Low-down-payment lending is periodically debated in housing policy circles, with critics citing default risk and advocates citing access; Home Possible's actual performance has remained within conventional standards.

Income Cap Transitions: The tightening of income limits to 80 percent AMI created eligibility discontinuities for moderate-income borrowers, generating lender and consumer complaints when loans were rescoped mid-process.

Program Complexity: Multiple variants (standard Home Possible, HFA Advantage, sweat-equity options) create delivery complexity that smaller lenders sometimes struggle to operationalize.

Home Possible Ownership: Pros & Cons

Advantages

+Freddie Mac's guaranty makes Home Available through nearly every conventional lender
+Cancellable PMI and flexible funding sources reduce costs versus FHA
+Policy mandate under FHFA affordability goals keeps the product a structural priority
+LPA's incorporation of rent payment history expands credit access

Considerations

-The 80 percent AMI cap excludes many moderate-income borrowers
-LPA approval can be stricter than FHA for thin or damaged credit files
-LLPAs and PMI still raise effective rates for lower-score borrowers
-Product availability depends on lender participation, which varies by market

Frequently Asked Questions About Home Possible

Sources & Further Reading

Competitors to Home Possible

These competing brands operate in the same categories and provide similar products or services. Compare key attributes to understand market positioning and competitive landscape.

Brand	Parent Company	Country	Founded	Market Position	Primary Market	Gender Target
HomeReady	Fannie Mae	USA	2014	Market leader	United states	All-consumers
HomeStyle Renovation	Fannie Mae	USA	1995	Market leader	United states	All-consumers
Express Homes	Dr Horton	USA (parent)	2014	Mass market	United states	All-ages
Fannie Mae	Fannie Mae	USA	1938	Market leader	United states	All-consumers
Freddie MacSister Brand	Freddie Mac	USA	1970	Market leader	United states	All-consumers