EDITORS NOTE: Fannie Mae is no longer offering the FannieMae HomePath mortgage program. If you are considering buying a Fannie Mae HomePath property (foreclosure that is owned by Fannie Mae) in Washington state, I’m happy to help you.
Earlier this week, a real estate agent emailed me this question regarding Fannie Mae HomePath mortgages:
I have a client looking at a HomePath home in King County. It’s listed at $470,000 and she wants to put down 5%. Is that possible? I had the impression that HomePath still has to conform to standards on loans and the limit would be 417,000.
Here’s my reply:
Fannie Mae Conforming High Balance loan limit is currently at $506,000. With a conforming high balance loan amount (anything over $417,000) we have a minimum 10% down required. Your client can do a sales price of $470,000 with 10% down ($423,000 loan amount) – with no pmi or appraisal required. If they put down a little more to be at $417,000; pricing for the rate may be slightly better.
For loan amounts $417,000 and lower (not “high balance conforming” loan amounts) HomePath will allow 5% down payment for owner occupied and 10% down payment for non-owner occupied. With good credit, there is no private mortgage insurance.
Fannie Mae HomePath mortgages are available on homes that are owned by Fannie Mae due to a foreclosure. You can learn more about Fannie Mae HomePath mortgages by clicking here.
If you are interested in a Fannie Mae HomePath or any mortgage for a home located in the state of Washington, I’m happy to work with you!