For many aspiring homeowners in the Southeast, the biggest hurdle isn’t the monthly mortgage payment, it’s the massive lump sum required to get through the front door. Whether you’re looking at a bungalow in East Nashville, a suburban retreat in Marietta, or a condo in Orlando, the “20% down” myth continues to discourage qualified buyers from entering the market. In 2026, the real estate landscape in Georgia, Tennessee, and Florida has shifted. While inventory is stabilizing, home prices remain high, making it difficult for many families to save enough for a traditional down payment while simultaneously paying record-high rents. The gap between wanting a home and owning one often comes down to that initial cash outlay. AnnieMac Home Mortgage developed the OneUP program specifically to bridge this gap. By lowering the entry requirement to just 1% of the purchase price, the program effectively removes the largest barrier to homeownership for moderate-income buyers. How the OneUP Program Works The mechanics of OneUP are designed for simplicity and maximum impact for the borrower. Traditionally, even “low down payment” loans like FHA or standard conventional products require 3% to 3.5% down. For a $350,000 home, that’s roughly $10,500 to $12,250 out of pocket, before closing costs. With OneUP, the borrower contributes only 1%. AnnieMac Home Mortgage then provides a lender grant for the remaining 2% (or $2,000, whichever is greater). This means the buyer walks into the closing office with a 1% down payment but leaves with 3% equity in their new home. This isn’t a second mortgage or a lien that needs to be paid back later. It is a grant provided by the lender to facilitate homeownership. By starting with 3% equity while only paying 1%, you are essentially gaining immediate wealth the moment you sign the final papers. Eligibility: Is OneUP Right for You? While OneUP is a powerful tool, it is specifically targeted toward buyers who have stable incomes and solid credit but lack deep cash reserves. To keep the program focused on those who need it most, there are a few key eligibility requirements: Income Limits: This program is designed for moderate-income earners. Your qualifying income must be at or below 80% of the Area Median Income (AMI) for the location where you are buying. In many parts of the Southeast, these limits are quite generous, allowing a wide range of professionals, from teachers and healthcare workers to tech professionals, to qualify. Credit Score: A minimum FICO score of 620 is required. While many premium programs require scores in the 700s, OneUP remains accessible to those who may be in the process of building or repairing their credit profile. Property Type: The program applies to 1-unit properties. This includes Single-Family Residences (SFR), Planned Unit Developments (PUDs), and Freddie Mac-eligible condos. Whether it’s a detached house in the Atlanta suburbs or a townhouse in Knoxville, as long as it’s your primary residence, it likely qualifies. Loan Limits: There is generally a maximum loan amount (often around $375,000), which aligns with the program’s goal of supporting entry-level and mid-market homeownership. Why the Southeast is the Perfect Place for OneUP The real estate markets in Georgia, Tennessee, and Florida are unique. Unlike some coastal markets where “starter homes” start at $800,000, the Southeast still offers a variety of high-quality homes in the $250,000 to $375,000 range. In Georgia, markets like Augusta, Savannah, and the outer rings of the Atlanta metro area are prime territories for the OneUP program. Buyers who have been stuck in the rent cycle in areas like Gwinnett or Cobb County can often find that their monthly mortgage payment on a OneUP loan is comparable to what they are currently paying in rent, but with the added benefit of tax advantages and equity growth. In Tennessee, Nashville’s rapid growth has pushed prices up, but surrounding areas like Clarksville, Murfreesboro, and Chattanooga remain accessible. For a young professional moving to the Volunteer State, the ability to secure a home with just 1% down allows them to keep their savings liquid for home improvements or emergency funds. In Florida, where the market has seen significant fluctuations over the last few years, OneUP offers a stabilized entry point. From Jacksonville to the Space Coast, the 2% lender grant helps offset some of the higher insurance costs and property taxes that Florida homeowners sometimes face, making the initial transition into homeownership much smoother. The Math: 1% Down vs. Renting Let’s look at a real-world scenario. Meet “Sarah,” a graphic designer in Marietta, GA. Sarah was paying $2,100 a month in rent for a two-bedroom apartment. She found a charming townhouse for $320,000. Traditional 3% Down: Sarah would need $9,600. OneUP 1% Down: Sarah only needs $3,200. By using OneUP, Sarah saved $6,400 upfront. She used that saved cash to buy a new HVAC warranty and paint the interior of her new home. Most importantly, because AnnieMac contributed a 2% grant ($6,400), Sarah started her homeownership journey with $9,600 in equity. If home values in Marietta appreciate by just 3% in the first year, Sarah’s equity grows significantly, all while her monthly housing cost is locked in, protecting her from future rent hikes. Common Questions About the 1% Down Strategy Is the 2% grant a loan?No. One of the most common misconceptions is that the 2% provided by AnnieMac Home Mortgage is a “silent second” or a “soft second” mortgage that has to be repaid when you sell the home. It is a true lender grant. There is no repayment requirement for that 2% contribution. Can I use gift funds for my 1%?Yes. If you have a family member willing to help you get started, that 1% contribution can come from gift funds. This means a borrower could potentially get into a home with zero dollars of their own personal savings if they have a gift for the 1% portion. Does this increase my interest rate?Interest rates are determined by a variety of factors, including credit score and debt-to-income ratio. While specialized programs may have slightly different pricing than a standard 20%-down conventional loan, the trade-off is the significant reduction in upfront cash. For most OneUP borrowers, the “opportunity cost” of waiting years to save an extra $15,000 far outweighs any minor difference in rate. Strategic Homebuying in 2026 The key to winning in today’s market is flexibility. The OneUP program isn’t just about “buying a house”; it’s about capital preservation. Even if you have 3% or 5% saved, using the OneUP program allows you to keep more of your cash in the bank for life’s unexpected moments while still achieving the goal of homeownership. At a time when the “cost of entry” is the primary reason people stay on the sidelines, strategies like this change the game. It turns the dream of a backyard in Tennessee or a sunroom in Florida into a tangible reality. If you are tired of watching home prices climb while your savings account stays the same, it’s time to look at the numbers through a different lens. The 1% down strategy is designed to put the power back in the buyer’s hands. Get Mortgage Ready Navigating the nuances of AMI limits and credit requirements is easier with a guide. If you’re ready to see if your income and target neighborhood qualify for the OneUP 1% down program, the first step is a simple eligibility check. Talk to the ExpertTo see the specific AMI limits for your county in GA, TN, or FL, or to start your pre-qualification: