Fannie Mae owned homes may include a note regarding HomePath financing. These loans are exclusively applicable to Fannie Mae homes and include a few great options. The HomePath loan program benefits for NH properties in this blog may provide you with a preliminary outline of this financing and its offerings.
HomePath Financing Specifics
HomePath mortgages are offered by approved local banks, mortgage companies, and credit unions. There are two distinct programs. HomePath Mortgage is the first one and can be used for move-in ready homes. For homes requiring a lot of work, borrowers may roll-in repair costs with HomePath Renovation Mortgage.
Benefits to Buyers
Both program options may be used to purchase principal homes, vacation properties, or investment units. Down payments can be a minimum of five percent and the funds may be a gift, a grant, and in certain cases even loaned. No MI is required, although there might be a cost associated with this feature. Sellers contributions are permitted. Financing terms may range and include fixed rates, variable rates, and interest-only.
Use of Appraisals
HomePath Mortgages have the added benefit of not needing a lender appraisal. For HomePath Renovation Mortgages, an appraisal is requested to predict the post-renovation value of the home. The repair expense added to the loan is based on this estimation. The renovation cost must be no more than $35,000 or 35% of the estimated post-renovation value.
Most local lenders are able to assist with HomePath financing. Be sure to compare this program to other alternatives solutions. When evaluating fixed rate, variable rate, and interest-only programs, take the time to understand the advantages and disadvantages of each. Some mortgage programs may be a better fit than others based on your specific finances and plans. It is not required that you select HomePath financing to purchase a Fannie Mae listing. It is merely an alternative extended to buyers to possibly make purchasing easier. As with all types of financing, closing fees and other terms may range from company to company. The HomePath loan program benefits for NH properties in this blog is merely an overview of the program, may not include all of the particular requirements, and is subject to change. Contact with a local lender for the most up-to-date facts.