Homepath homes are also commonly referred to as foreclosure properties. Owned by Fannie Mae, these homes are handled like any other listing, however, there are some differences.
When it comes to Homepath properties, Fannie Mae has a place for people who want to turn the house into an inviting home. That is why for the first 20 days, contracts from owner-occupants and nonprofits are the only offers accepted.
What is a Homepath Property?
Fannie Mae works together with home mortgage services and housing counselors to create a situation that helps homeowners. To prevent and avoid foreclosure, Fannie Mae works directly with buyers to help make sure their options are completely understood.
What Are the Advantages of a Homepath Property?
There are numerous advantages to purchasing a Homepath property. Here are three of the most notable advantages:
One of the most notable benefits of Homepath properties is that investors have up to 20 days to act. Typically, the marketplace will buy up foreclosure properties before individual sellers can make a purchase or even know they are available. However, Homepath properties are exclusive sales, and thus, buyers are allowed more time than you may expect.
Low Closing Costs
Costs on Fannie Mae properties are known to be especially low. Homebuyers usually pay up to 3% of closing costs, an average of $5,000. For first-time homebuyers who are able to complete the 6-hour online homeownership training class successfully, fundamentals of buying, owning, and maintaining a home may be easy.
The down payment on a Fannie Mae home is considered to be low enough to turn a profitable investment. Many people use Homepath properties as an investment opportunity. After putting the low down payment on the property (usually 3%), the homebuyer may also enjoy flexible sources of funds.
When home equity reaches 20%, people with private mortgage insurance may be eligible for cancellation. Unlike government-issued loans, these conventional home financing options may provide the right type of approach for you.
All Homepath properties are publicly listed. That means that all of the offers can be publicly accepted online at www.homepath.com. This makes the home buying process transparent, and very simple and easy for those who select a property and make the highest bid.
In many areas, local and state housing authorities offer financing programs. These programs are in place to assist buyers in the down payment and purchasing of their new home.
Additionally, neighborhood stabilization programs (NSP) provide homebuyers with additional funds through specific funding programs. You may be able to gain buyer assistance through earnest money, NSP funds, 45-day closing, and a 20-day First Look marketing window.
Is a Homepath Property Right for Me?
Homepath short sale properties are common for those first-time homebuyers. As a common lien holder, Fannie Mae is a resource for listing agents and independent clients looking to pursue a short sale. You will know if a Fannie Mae house is for you by checking the website for general guidance, price lists, forms, fact sheets, and the status of your case.
Then, after talking to a professional member of the Jeff Barchi team, you can consider which are the best options for you.