Lower Rates For First-Time Buyers
First-Time Buyer Rate Discount Program
First-time buyers can now enjoy permanently reduced rates, up to 1% lower, through Jeremy Boillot’s Rate Discount Program.
Benefits
- Eliminate rate penalties even with a small down payment or lower credit score
- Simplified approvals for W2 employees
- Quick closing – just 14 days from contract to keys
- Enjoy rates that stay fixed for life
Eligibility
- Eligibility for first-time homebuyers only
- 3% or more down payment required
- Minimum credit score of 620 needed
- For primary residences only
NEXT STEP
Get your personalized consultation today.
- No obligation required
- No hit on your credit score
- Quick and hassle-free process
- No paperwork needed
Owning your first home just became significantly more affordable thanks to major updates in loan guidelines. In a big win for first-time buyers, Fannie Mae and Freddie Mac have introduced substantial rate discounts to make homeownership more accessible.
At Jeremy Boillot, we’re here to ensure you can fully benefit from these valuable rate reductions.
Technically, these discounts are applied by removing fees known as Loan Level Price Adjustments (LLPAs) for eligible first-time homebuyers. But what does this mean for you? Let’s break down how this program works and show you how to qualify for Jeremy Boillot’s Rate Discount Program, so your LLPAs can be waived and you can save significantly on your first home purchase.
A Closer Look at Rates and LLPAs
There are 14 key factors that influence your mortgage rate, and each comes with a corresponding fee that adjusts your loan’s rate up or down. This is what’s known as a “loan level pricing adjustment,” or LLPA.
Mortgage rates are based on “risk-based pricing.” When a borrower presents higher risk—such as a lower credit score—investors require higher interest rates to offset the potential of default.
Fannie Mae, Freddie Mac, and other investors use LLPAs as a standard method to determine how much a borrower’s rate should increase for each risk factor. These fees can quickly accumulate, making a monthly payment much less affordable for first-time buyers.
By waiving these LLPAs through Jeremy Boillot’s Rate Discount Program, first-time buyers get a significant advantage. For example, a qualified first-time buyer with a 640 credit score and just 3% down can now secure the same interest rate as an experienced buyer with a 780 credit score and 25% down.
What is Fannie Mae? Who is Freddie Mac?
Fannie Mae, officially known as the Federal National Mortgage Association (FNMA), and Freddie Mac, officially the Federal Home Loan Mortgage Corporation (FHLMC), are private companies sponsored by the U.S. government.
These two entities are the largest investors in the secondary mortgage market, buying roughly 70% of all U.S. mortgages. Their involvement brings liquidity and stability to the mortgage industry by reducing costs and risks for lenders, ultimately making homeownership more affordable and accessible for buyers.
Given their influential role in the mortgage market, Fannie Mae and Freddie Mac effectively shape the standards for who can qualify for financing. When they implement changes—such as removing LLPAs for eligible first-time homebuyers—Jeremy Boillot ensures these significant rate savings are passed directly to our clients.
How to Qualify for Jeremy Boillot’s Rate Discount
The path to qualifying for Jeremy Boillot’s Rate Discount starts with knowing the eligibility requirements:
Purchase a primary residence.
Select a loan amount that falls within Fannie Mae and Freddie Mac’s county limits.
Be a first-time homebuyer.
And meet one of the following income thresholds:
100% or less of the area’s median income in standard-cost areas, or
120% or less of the area’s median income in high-cost areas.
Discover the Savings: How Jeremy Boillot’s Rate Discount Makes a Difference
The savings you can enjoy by having your LLPAs waived depend on your individual loan details. Borrowers with lower credit scores and smaller down payments benefit the most, as their rates would typically be higher. To give a clearer picture, let’s look at some examples showcasing the potential savings for first-time homebuyers.
All examples below assume a loan amount of $500,000 with a base interest rate of 7%.
Scenario 1: Low Credit Score & Down Payment*
Credit Score: 620
Down Payment: 5%
Loan Amount: $500,000
Without Jeremy Boillot’s Rate Discount:
LLPA Fee: 2.75% of loan amount = $13,750 (either paid at closing or rolled into a higher interest rate)
Interest Rate: 7.75% (base rate 7% + 0.75% increase from LLPA)
Monthly Payment: $3,582
With Jeremy Boillot’s Rate Discount:
LLPA Fee: $0
Interest Rate: 7%
Monthly Payment: $3,327
Savings:
Monthly Payment Savings: $255
Annual Payment Savings: $3,060
Total Loan Savings Over Term: $91,800
Scenario 2: Median Credit Score & Down Payment*
Credit Score: 680
Down Payment: 10%
Loan Amount: $500,000
Without Jeremy Boillot’s Rate Discount:
LLPA Fee: 1.5% of loan amount = $7,500 (either paid at closing or added via a higher interest rate)
Interest Rate: 7.50% (base rate 7% + 0.50% increase from LLPA)
Monthly Payment: $3,496
With Jeremy Boillot’s Rate Discount:
LLPA Fee: $0
Interest Rate: 7%
Monthly Payment: $3,327
Savings:
Monthly Payment Savings: $169
Annual Payment Savings: $1,788
Total Loan Savings Over Term: $60,840
Scenario 3: High Credit Score & Down Payment*
Credit Score: 740
Down Payment: 20%
Loan Amount: $500,000
Without Jeremy Boillot’s Rate Discount:
LLPA Fee: 0.875% of loan amount = $4,375 (paid at closing or added via a higher rate)
Interest Rate: 7.25% (base rate 7% + 0.25% increase from LLPA)
Monthly Payment: $3,411
With Jeremy Boillot’s Rate Discount:
LLPA Fee: $0
Interest Rate: 7%
Monthly Payment: $3,327
Savings:
Monthly Payment Savings: $84
Annual Payment Savings: $1,008
Lifetime Loan Savings: $30,240
In each example, Jeremy Boillot’s Rate Discount offers meaningful savings, either upfront or over the life of the loan, by lowering the monthly mortgage payment. This illustrates its financial benefit for first-time homebuyers.
Note: These examples are simplified for illustrative purposes and do not account for all possible fees, charges, or other financial factors that may affect actual mortgage costs. Consult a Jeremy Boillot mortgage professional for precise guidance tailored to your individual situation.
Evaluating Your Eligibility By City and County
Understanding the income eligibility for your target area can greatly guide your home search. Maximum qualifying income differs by county, but Fannie Mae provides a helpful tool to check the median income in your desired location. Be sure to reference the Area Median Income (AMI) for the city where you plan to buy, not where you currently live.
Always use the highest percentage of AMI listed for your desired purchase city. The tool will show 100% of the AMI for non-high-cost areas and 120% of the AMI for high-cost areas. For example:
Non-high-cost area:
High-cost area:
Calculating Your Qualifying Income
Calculating your qualifying income, which lenders use to determine eligibility for the waiver, can be tricky for self-employed, hourly, seasonal, or gig workers. Even for salaried W2 employees, adjustments may be needed for bonuses or other discretionary income.
At Jeremy Boillot’s, our team specializes in income analysis and can help review your documentation to provide clear guidance.
If you don’t quite meet the eligibility requirements, don’t worry—there are multiple first-time homebuyer programs available with low down payments that offer many of the same benefits as the LLPA waiver loans.
How to Claim Your Jeremy Boillot’s Rate Discount
Once you satisfy the eligibility requirements, the LLPA waiver is applied automatically. The mortgage specialists at Jeremy Boillot’s are highly skilled in handling Fannie Mae and Freddie Mac loans and will guide you seamlessly through the process.
Keep in mind that FHA, VA, and USDA home loans are not eligible for this waiver, as these programs do not use LLPAs to determine fees or rates. LLPA adjustments are specific to Fannie Mae and Freddie Mac conforming loans.
Duration and Coverage of the Jeremy Boillot’s Rate Discount
The Jeremy Boillot’s Rate Discount program addresses every factor that can affect your mortgage rate, making it one of the most valuable programs for first-time homebuyers. Unlike other programs, this waiver is comprehensive, applying to multiple property types and accommodating a wide range of down payments and credit scores.
Although the Rate Discount does not have a set expiration date, shifts in market conditions or guideline updates could impact its availability. In today’s dynamic housing market, we recommend that clients act promptly once they decide to buy a home to take full advantage of this opportunity.
Is Jeremy Boillot’s Rate Discount Program the Right Fit for You?
This program creates new opportunities by eliminating LLPAs for moderate-income, first-time home buyers, supporting Fannie Mae’s goal of making homeownership more accessible. With reduced rates and fees available, now could be the perfect time to jumpstart your journey toward owning a home.
Move Forward with Jeremy Boillot
Our team at Jeremy Boillot is ready to support you throughout the entire homebuying process. Begin your loan application online or reach out to us today to explore your homeownership goals and discover how Jeremy Boillot’s First-Time Buyer Discount Program could help make your dream home a reality.