Renovation Home Loans From HomePath

home-renovation-loan

Renovation home loans from HomePath allow people to buy listings that need some repair. The expense of repairs can be rolled into the loan principal, making purchasing the property possible. In this article is useful information on renovation home loans from HomePath.

What Listings Qualify

HomePath home loans are solely available on properties owned by Fannie Mae. Mortgage companies must be approved to offer this program. There are normally a wide range of lenders. Homes needing minor to moderate repairs may also meet requirements for special renovation home loans from HomePath. This is typically included right in the listing remarks.

Qualified Home Buyers

Beyond the home qualifying for HomePath home loans, buyers must also qualify. Specific criteria may vary by mortgage company but generally includes income and FICO score requirements. Speak with a loan officer for details.

Details on Renovation Home Loans From HomePath

Renovation home loans from HomePath provide some desirable terms. Buyers may put down as little as 5%. More importantly, the down payment can be personal, a gift, a grant, or even a loan from specific approved entities. Both adjustable and fixed rate mortgages are available. No mortgage insurance is required, which can save buyers significant cost. Lastly, seller contributions are also permitted.

An appraisal is completed to estimate what the final value of the real estate may be once work is completed. The amount of the home loan will be based on the purchase price plus cost of repairs. Renovation costs may be as high as $35,000 or 35% of the appraisal value.

Additional Resources for HomePath Home Loans

If you are looking into purchasing a Fannie Mae home that qualifies for HomePath financing, you should speak with an approved lender beforehand. Your lender can give more specific information on your qualification and what the loan figures would be. This will help you decide if the listing will be financially feasible. For additional information on this and other related programs, contact Matthew Rapoport at Homes Inc. at (213) 334-4141 or [email protected]