- Down payment - at least 3% 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 or fee
- fixed, adjustable rate, or interest only mortgage terms
- credit can be less than perfect
- available to owner occupied and investors
- Do not have to be first time buyers
Another awesome feature of this loan is that up to 6% of the buyers costs can be credited to the buyer by the seller which is Fannie MAE.
Here is an example of a recent Home Path Property and loan that I have closed in Mid March 2010.
- Condo purchase price: $290,000
- Down Payment $8700=3%
- Principal & interest = 1600.= at 5.5%
- Total payment including piti + assoc. dues =$2040.
- Total cash including down payment and closing costs for buyer to get into property=$10,400
- First time buyer tax credit =$8500
- Total cash to get in=$1900
This condo was a 2 bedroom, 2bath, 2 car attached gar., fireplace, 1200 sq.ft. new kit cabinets, new wood floors, very clean, needed new heater, stove and oven. built in 1980 near Cal State Fullerton.
Most HOME PATH homes are in Riverside and San Bernardino, but there are many in Orange County. The best way to find them is on the website http://www.homepath.com/
I have learned most lenders that service these Fannie Mae loans struggle through the transaction but I have someone that will provide quality service and can close the transaction 20 days after the buyer provides all of the necessary documentaion to qualify.
Most realtors have not used this purchase opportunity. You will need guidance to get through it. You can't beat the total cash investment to obtain real estate! Call me I can help you.