Guaranteed Rate Rolls Out Retail 1% Down Payment Program

Guaranteed Rate has begun offering 1% down payment mortgages through a new nationwide program.

Through the new program, called Double Match, qualified borrowers only have to put 1% down to buy a home. The additional 2% is granted through a down payment assistance program, the Chicago-based retail originator said in a news release Thursday.

Unlike some 1% down programs that have been rolled out either directly to consumers or through wholesale channels in recent months, the 2% granted through down payment assistance is completely forgivable. The Double Match program can be applied to purchases of condos and town homes in addition to single-family homes.

Guaranteed Rate will also allow the borrowers to couple it with a mortgage credit certificate for tax purposes. The program can be applied to loans of $417,000 or less, and borrowers must have a FICO score of at least 680 to qualify. Income requirements will vary based on location, Guaranteed Rate said.