Guess what? Fannie Mae really wants to get rid of the homes they have had to take back. This offers a fine opportunity to score a low priced home and get a great loan in the process. The loan side of the deal is called the HomePath program and offers buyers some great rates and incentives to take the plunge.
As we have said before, 2009 is going to be a year people look back to when telling their friends about the amazing real estate deal they got. I remember talking to my buddy Larry back in the mid 1990's about the cabin/home he got in Forrest Lakes during the S&L crisis. He got a smoking deal and I was truly jealous... an acre of land and a decent home on the edge of the national forest for around $60,000. Ten years from now we'll be hearing the same kind of stories from those who rolled the dice in this market.
Enough reminiscing and back to the purpose of this blog... HomePath. HomePath is simply a loan program that makes it more affordable for home buyers to purchase some FannieMae held properties. The features of the program are:
- Low down payment and flexible mortgage terms (fixed-rate, adjustable-rate, or interest-only)
- You may qualify even if your credit is less than perfect
- Available to both owner occupiers and investors
- Down payment (at least 3 percent) can be funded by your own
savings; a gift; a grant; or a loan from a nonprofit organization,
state or local government, or employer
- No mortgage insurance*
- No appraisal fees
As you can see, there are a lot of benefits, especially the waving of mortgage insurance that can add thousands a year to your payment.
So what's the catch here. There are not too many; Fannie Mae is very motivated to sell a bunch of homes. Here's what I've found... not all Fannie Mae homes are eligible and you have to use a Fannie May approved HomePath lender.
If you are thinking about investing in a rental home, the Homepath program is available to you as well. Just check out our post on the subject at Real Estate Investing 101.
For more info, to search the FannieMae Inventory check out their website... here. If you need an authorized HomePath lender in Arizona we know one and her contact info is below. If you need a great real estate team to represent you in the purchase, keep you safe and well informed you should contact Ron Urban at the Urban Team.
Lisa Shaughnessy
lshaughnessy@metrocitiesmtg.com
602.749.2332 direct
480.695.9193 cell
Desert Heritage Mortgage
Have a great weekend,
Gene Urban
The Urban Team
Realty Executives
602-234-5777
