GC97 Freddie Mac HFA Advantage

The GC97 Freddie Mac HFA Advantage Program offers an insured conventional mortgage loan secured by a first mortgage with the options of down payment and closing cost assistance up to $7500 (the GC97 Plus loan) at a market interest rate the same as the first mortgage and 15-year term. Maximum CLTV limit of 105%.

Highlights for GC97 and GC97 Plus

  • DPA provided through second mortgage financing, max CLTV 105% to assist with down payment and/or closing costs are as follows:
    -Sales price < $150,000, DPA of $6,000
    -Sales price ≥ $150,000, DPA of $7,500
  • Interest rate is the same as the first mortgage
  • Loan is amortized over a 15 year term.
  • No first time homebuyer requirement
  • Flexibility for loan qualification for borrowers with student loan debt
  • Income limits apply differently for the GC97 than Great Choice
  • Qualifying income of the borrower(s) on the loan is used instead of household income limits
  • Lender compensation up to 2.75%
  • Since this is not a bond loan, there are not any pre-closing disclosures needed, such as affidavits.

Helpful Links

Become an Approved GC97 Lender
GC97 Program Guidelines -See SECTION X of OA Guide
Program Comparison Matrix: GC97 vs Great Choice
Qualifying Income Limits
Working Agreement for MBS Loans
THDA Exclusionary List


Underwriting Submission Checklist-GC97
Closed Loan Submission Checklist-GC97
Form SSA89 Authorization to Release SSN
THDA Exclusionary Certification Form


01.23.20 New GC97 Freddie Mac HFA Advantage Announcement
01.27.20 GC97 Rollout to Lenders in Phases
03.23.20 Update on GC97
06.09.20 GC97 Program Update with Trainings
07.08.20 GC97 Income Changes

Recorded Webinar -- GC97 Training for Lenders

Click here | 35 minutes approximate time