Mortgage Navigator • Conventional • Occupancy

Primary residence

A primary residence is the home the borrower actually intends to occupy as their main home.

Fannie

Fannie defines a principal residence as a property the borrower occupies as their primary residence. With multiple borrowers, generally only one borrower must occupy and take title unless another specific product rule applies.

Why primary matters

Primary-residence treatment can allow higher LTVs, broader gift-fund options and more favorable pricing than a second home or investment property.

Intent must be real: the borrower should not claim primary occupancy solely to obtain better terms when the actual plan is rental or vacation use.

Official guide baseline

Fannie Mae Selling Guide · Freddie Mac Seller/Servicer Guide

Occupancy must reflect the borrower's actual intended use. Misrepresenting occupancy can constitute mortgage fraud.