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Need a Low Down Payment Home Loan to Purchase in Phoenix? Homepath Financing May Be the Answer

By
Mortgage and Lending with Reasy Financial LLC NMLS 2446155

So you're in the market to purchase a home in Phoenix, Arizona?  You've saved your money, but were hoping to find something with a low down payment.  Unfortunately, most of the affordable houses in your price range are unable to be financed with a FHA home loan.  It is beginning to seem like your only option may be Conventional financing, which requires a significantly larger down payment. 

There is another option.  It is possible to take advantage of today's low interest rates and affordable home prices in Phoenix, while still benefiting from a reasonable down payment.

You can purchase a home, which is owned by mortgage giant Fannie Mae, for as little as 3% down.  Fannie Mae currently owns many homes taken over through the foreclosure process in Arizona.  These homes can be financed through their new HomePath® program, specifically for Fannie Mae REO properties.  Listed below are some of the highlights. 

HomePath® Financing HighlightsHomePath Mortgage in Phoenix

  • Low down payment and flexible mortgage terms 
  • Up to 97% financing for Owner Occupied homes
  • Up to 90% financing for 2nd homes
  • Up to 90% financing for Investment Properties
  • Borrowers purchasing a 2nd home or investment property with maximum 75% LTV/CLTV can own up to 10 financed properties
  • No mortgage insurance option (over 80% LTV requires a 660 credit score and additional fee)
  • No appraisal fees (Sales price is used to determine value)  
  • Eligible properties include 1 to 4 units, condos, and PUD's 

You can search for Fannie Mae REO's at in Arizona by clicking here.  Fannie Mae is also offering a 3.5% incentive* for buyers who purchase and close on a Fannie Mae-owned home between January 28 and April 30, 2010.  Buyers purchasing properties listed on this site that are closed within this period may receive up to 3.5% of the final sales price for:

  • Closing costs;
  • The purchase of new Whirlpool® appliances by Fannie Mae; or
  • A mix of closing costs and appliances, at the buyer's discretion, up to the maximum 3.5%.

Our mortgage team works with many Real Estate Professionals that specialize in locating these homes for our borrowers.  Please feel free to contact us for a referral of someone who is qualified to assist you in writing a contract, negotiating terms and obtaining the best long-term strategy for you and your family.  Purchasing a home involves many other aspects than just negotiating a sales price.  It's very important to know, upfront, how to properly structure your real estate offer upon submitting your contract to Fannie Mae.  Contact us today to begin the process.

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About the Author

My name is David Krushinsky and I am a Phoenix mortgage specialist that is truly passionate about my profession and the result is that nearly 100% of my business is by referral from satisfied clients, trusted financial advisors and the most experienced REALTOR®'s in the Phoenix area.
Questions? Call 480.339.1576 or Visit My Website

Kate Kate
San Diego, CA

David, I did not know the 3.5% can go toward a combination of closing costs AND appliances. I thought it was one or the other. That's what I get for assuming. This is a nice deal. Kate

Feb 08, 2010 02:48 AM
Renée Donohue~Home Photography
Savvy Home Pix - Allegan, MI
Western Michigan Real Estate Photographer

Your office is very aesthetically pleasing.  I am jealous!  I like the TV also.  I need one of those in my office, along with a tidy job ;)

I keep forgetting about homepath financing.  Great info on homepath!

Mar 10, 2010 12:12 AM
Christine Donovan
Donovan Blatt Realty - Costa Mesa, CA
Broker/Attorney 714-319-9751 DRE01267479 - Costa M

This is really great information, especially for buyers who don't have a lot of money for a down payment and closing costs.

Mar 10, 2010 03:02 PM
David Krushinsky
Reasy Financial LLC - Peoria, AZ
AZ MB-1044208 MLO NMLS #202115

Kate - You know what happens when you ASSume.....

Renee - Thanks dude.... I love your new picture too!  It looks great.

Christine - The 3% down payment can actually be a gift from a relative., so it's a terrific program for buyers who don't have a lot of money.

Mar 12, 2010 06:11 AM