Homepath is a loan that is available to buyers on Fannie Mae owned property. Fannie Mae is listed as the seller and is offering a Homepath loan to buyers that are primary homeowners with as little as 3% down, Second or vacation homes with as little as 10% down and investment properties with 15% down. A great feature of Homepath loans is the elimination of Monthly mortgage insurance. The interest rates tend to be higher for Homepath loans than traditional loans. A traditional Fannie Mae conventional loan with less than 20% down is usually covered with private mortgage insurance companies, and with Homepath the risk is covered by Fannie Mae in the interest rate. This generally causes a reduction in the overall payment.
When buying a Homepath property you do not need to appraise the home and your loan isn’t subject to an appraisal. Fannie Mae analyzes the property before being listed and determines a value that they are willing to collateralize the new loan for. Another feature of Homepath is when buying a Homepath approved condo the association is not subject to approval. Many buyers have experienced the struggle of buying a condo is today’s market with less than 25% down on a primary home. Homepath approved condos can be purchased with the same down payments listed above.
For more information in buying a Homepath property you can call the Supreme Lending at 754-245-3003.