CHOICEHome® Mortgage
CHOICEHome® is our innovative, affordable mortgage initiative, offering conventional site-built financing for real-property factory-built homes, that are built to the HUD Code and have the features of a site-built home. When a factory-built home meets certain prescribed specifications, it is granted CHOICEHome certification and is eligible for CHOICEHome financing.
If you are originating mortgages secured by manufactured homes, please see our requirements in the Single-FamilySeller/Servicer Guide (Guide) Section 5703.16.
CHOICEHome mortgages secured by manufactured homes help you take advantage of additional options and flexibilities to finance factory-built housing and bring more borrowers to the table. You also have the benefit of site-built underwriting and collateral flexibilities and expanded lending opportunities to borrowers with moderate-incomes.
New Manufactured Home Community: Kilpatrick Woods
Freddie Mac partnered with developer EquityPlus, nonprofit social enterprise Next Step®, Fortis Construction, and Triad Financial Services to expand housing opportunities for working families and those attracted by its job opportunities in Hagerstown, Maryland — with Kilpatrick Woods. Our CHOICEHome® offering for CrossMod™ homes provides expanded access to financing for homes like those of Kilpatrick Woods.
Read More: Addressing the Housing Needs of a Growing Workforce with Manufactured Homes
Visit the Kilpatrick Woods website for more information and to stay apprised of the community's progress.
CHOICEHome mortgages help your borrowers:
- Gain access to high-quality, affordable homes.
- Realize their dreams of homeownership.
- Expand homeownership with our low 3 percent down payment option with a Home Possible or HomeOne® mortgage.
This Bulletin announces updates to property appraisals, Condominium Projects, Servicing Contract Rights terminology, and more.
The information on this page is not part of, and is not a replacement or substitute for, the requirements found in the Freddie Mac Single-Family Seller/Servicer Guide and your other Purchase Documents.
Freddie Mac CHOICEHome® Mortgage Offering Video
Product Features
- Property Type/Eligible Properties
- 1-unit, factory-built HUD-code home
- Primary residence
- Designed as a multi-section property (i.e. no single wide homes)
- Meets CHOICEHome minimum specifications
- Eligible Mortgage Products
- Fixed-rate mortgages
- 5/5, 5/1, 7/1, 10/1, 5/6-Month, 7/6-Month or 10/6-Month ARM; provided, however, Freddie Mac Home Possible® and Freddie Mac HomeOne® Mortgages must be fixed-rate Mortgages.
- Mortgages secured by a CHOICEHome subject to resale restrictions are eligible for purchase
- Transaction Type
- Purchase
- No cash-out refinance
- If mortgage proceeds are used to replace an Interim Construction Financing, the transaction must meet the requirements of Guide section 5703.16.
- Maximum LTV Ratios
- 95% LTV/TLTV/HTLV
- 97% LTV, 105% TLTV with an affordable second (Home Possible® and HomeOne®)
- Execution Options
Cash, Guarantor, and MultiLender
*Cash Released XChange is not available for CHOICEHome properties in Connecticut and New York
- Credit Fees
Manufactured home credit fee in price is waived for a CHOICEHome® mortgage
- Delivery Requirements
- Investor Feature Identifier: J15
- Construction Method Type: Manufactured
- Manufactured Home Width Type: Multiwide
- Loan Manual Underwriting Indicator: False
Growing Your Business
From valuable training and networking events to advanced tools and applications that help you work smarter, Freddie Mac has the resources you need to expand into new markets and grow your revenues.
CHOICEHome® Mortgage Requirements in the Single-Family Seller/Servicer Guide
Resources for Borrowers
Reaching and educating borrowers – and helping them find the right mortgage – is essential for your business. Freddie Mac provides an array of materials you can share with your clients and business prospects.