Has anyone heard of the DreaMaker loan that Chase bank offers? I'm looking to purchase and house hack my first rental property. The mortgage loan officer said that this conventional loan is better than an FHA loan. It offers 3% down payment, lower PMI than FHA, interest rate is 4.00%, and APR 4.063%, DTI ratio 45%.
Any ideas as to which loan is better? FHA or DreaMaker?
3% down payment is standard Fannie Mae conventional program. Home Ready offer lower MI and does have lower interest rate also. Your lender has prepared your file in their system he can run both scenario FHA and conventional to see which will benefit you most. Ask your lender to give you presentation for both products.