Fannie Mae wants to sell their foreclosures, and are doing so with the Homepath Renovation Mortgage program. We all have potential buyer clients with one or more factors keeping them on the fence, or just convincing them that there's no hope of buying in today's tight lending environment. Well, there is a way that many can qualify, get a foreclosure value home, and even get the renovations financed in the deal. How many buyers have told you they could afford a foreclosure, but with all of the appliances, some of the flooring, and even plumbing ripped out, they can't find a way to get the deal done? Minor credit problems, light renovation required for a foreclosure home, and other mortgage issues melt away with the Fannie Mae Homepath program.
Going to Homepath.com, you can search for foreclosure homes owned by Fannie Mae and pre-approved for this program, offering:
- Low interest rates for fixed-rate, adjustable-rate and even interest only loans.
- No appraisal fees.
- No mortgage insurance.
- 3% down, but it can be borrowed.
- For a live-in homeowner, light renovation can be financed in the deal.
With the tax credit extended and expanded, and the possibility of borrowing the down payment, you may have buyers who can get in with none of their own money, paying back the down payment and closing costs loan with the tax credit. The site says that even loans from employers can be used for the down payment. Do a search on the Homepath site for eligible homes in your area, and match them to your buyers. This could be a way to help someone to own the home of their dreams, and take a check to the bank as well.
