Summary: We’ve written about low down payment mortgages in the past, noting that some mortgage programs offer down payments as low as 3% of the purchase price. HomeOne is a currently active, well-established program as of 2026. We’ll go over what these are in this article.
The HomeOne mortgage product offered by Freddie Mac makes 3% down payment mortgage loans available to more Washington home buyers.
More and more home buyers are taking advantage of 3% down payment mortgage loans in Washington State and nationwide. This is the result of a program by Freddie Mac.
A few years ago, Freddie Mac introduced a conventional mortgage product that allowed home buyers and homeowners to make a down payment as low as 3%. It was introduced in 2018 and is a long-standing, established program as of 2026.
Freddie Mac is one of the two government-sponsored corporations that buy and sell mortgages through the secondary market. Fannie Mae is the other one. These organizations have specific requirements for the types of loans they can buy. And those standards can “trickle down” to borrowers in the primary market.
In short: The mortgage guidelines used by Freddie Mac and Fannie Mae affect most borrowers who are seeking a home loan. That’s what makes all of this relevant to consumers.
According to Freddie Mac:
“Available to qualified first-time homebuyers for a low down payment of just 3%, the Freddie Mac HomeOne℠ mortgage is a low down payment option that serves the needs of many first-time homebuyers, along with no cash-out refinance borrowers.”
The original “Home Possible” mortgage program mentioned above was introduced a few years ago. It was primarily designed for low- and moderate-income borrowers in certain areas. That program still exists.
The HomeOne program extends 3% down payment mortgage loans to more Washington home buyers and homeowners.
What makes this version unique is the fact that there are no geographic or income restrictions. This could make Freddie Mac more competitive with the FHA’s mortgage insurance program, which offers down payments as low as 3.5% for eligible borrowers.
For many years, the FHA program was one of the only options for “regular” borrowers seeking a down payment in the 3% range. But in recent years, we’ve seen increased options for 3% conventional mortgage loans. The HomeOne program is part of that evolution.
In addition to purchase loans, this program can also apply to certain refinance scenarios. Borrowers who are exploring a refinance should review whether the transaction type fits the program guidelines and confirm eligibility details with a lender before proceeding.
Borrowers considering a low-down-payment mortgage should also ask about mortgage insurance requirements. Mortgage insurance is often an important part of programs that allow smaller down payments, and the costs and rules can differ from one loan type to another. When comparing this option to FHA financing, it helps to review how mortgage insurance applies and how it could affect the total cost of the loan over time.
The specific mortgage insurance structure can influence both the monthly payment and the overall cost of the loan. Because mortgage insurance arrangements vary by program, borrowers should ask lenders how the coverage is structured, how long it may apply, and how it compares to other low-down-payment options.
Here are some additional details we’ve gleaned from a product fact sheet:
Borrower eligibility criteria can play a major role in determining who can use this type of mortgage program. In general, lenders look at whether a borrower meets the program guidelines and can qualify for the loan based on standard underwriting requirements. Home buyers who are interested in this option should be prepared to review the specific eligibility standards with a lender before moving forward.
First-time home buyer status can be an important part of eligibility for this program. Borrowers should ask a lender how first-time buyer requirements apply to their situation and whether all applicants on the loan need to meet that standard.
Occupancy and property-type restrictions are also important when evaluating a mortgage program. Some loan options are intended for certain occupancy situations or particular types of residential properties, so borrowers should confirm that the home they want to buy fits the program guidelines. Reviewing these details early can help avoid surprises during the application process.
Eligible occupancy types and property types should be reviewed carefully before applying. Borrowers can benefit from confirming whether the program allows the way the home will be occupied and whether the property itself falls within the acceptable residential categories for the loan.
This is good news for home buyers in Washington State who lack the funds for a larger down payment. Creditworthy borrowers have another option for buying a home in Washington with relatively little money down.
Do you have questions about mortgages? Are you ready to apply for a mortgage to buy a home? If so, Sammamish Mortgage can help. We are a mortgage company serving borrowers in Washington, Oregon, Idaho, California, and Colorado. We offer many mortgage programs to buyers all over the Pacific Northwest, including our Diamond Homebuyer Program, Cash Buyer Program, and Bridge Loans. Visit our website to get an instant rate quote or to use our online mortgage calculator. Please reach out to us if you are ready to get pre-approved for a mortgage.
It is a home loan that allows qualified borrowers to put down as little as 3% of the home purchase price.
HomeOne is a conventional mortgage program from Freddie Mac that allows eligible borrowers to buy a home with a 3% down payment.
Yes. Eligible borrowers in Washington State may be able to use the Freddie Mac HomeOne program for a home purchase.
At least one borrower generally must be a first-time home buyer for a HomeOne purchase loan.
No. The article states that this program does not have geographic or income restrictions, which makes it available to a broader group of Washington borrowers.
A 3% down payment corresponds to a 97% loan-to-value ratio for qualified borrowers.
Yes. When all borrowers are first-time home buyers, at least one borrower must complete an approved homeownership education program.
Home Possible was aimed more toward low- and moderate-income borrowers in certain areas, while HomeOne expands 3% down payment access without those income or geographic restrictions.
HomeOne is a conventional loan option with a 3% down payment, while FHA loans typically require 3.5% down for eligible borrowers.
This option may help creditworthy Washington home buyers who have steady income and qualifying credit but lack funds for a larger down payment.
Our loan officers are ready and waiting to help you apply for your home loan.
Whether you’re buying a home or ready to refinance, our professionals can help.
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