Fraud, Processing, Verification Waterfall Products; Fairway and Insurance; Conv. Conforming Changes Can’t you feel the anticipation building? March 5th… Trigger leads… Don’t tell me that you’ve forgotten all about it. When a borrower applies for a mortgage and their credit is pulled, that data has historically been sold as a “trigger lead” and dozens of calls are received. Starting March 5, according to the law, credit bureaus can no longer sell trigger leads, the borrower’s lender can still contact them, ...

Core Insights - Rising home prices have made traditional down payments a significant barrier to homeownership, with the median U.S. home price exceeding $400,000, necessitating an approximate $80,000 down payment for a 20% contribution [1] - Many buyers can qualify for conventional mortgages with as little as 3% down, making homeownership more accessible, as a 3% down payment on a $400,000 home amounts to $12,000 [2] Mortgage Options - A 3% down mortgage allows borrowers to finance up to 97% of a home's purchase price, differing from the traditional 80% limit, and is backed by Fannie Mae or Freddie Mac [3] - Borrowers typically need a solid credit profile, stable income, and sufficient cash reserves, although requirements can vary by lender [4] Specific Programs - The Conventional 97 program permits buyers to finance up to 97% of the purchase price, requiring at least one borrower to be a first-time homebuyer, defined as someone who has not owned a home in the past three years [6] - The HomeReady program also allows a 3% down payment without the first-time buyer requirement, but household income must generally be below 80% of the area median income, offering flexible income sourcing [8]