Fannie Mae HomePath Loan Incentive

 Fannie Mae HomePath Loan

Fannie Mae is offering an incentive to borrowers who applied for Fannie’s Owned HomePath Property loan after April 11 and will close the deal on or before June 30, 2011.

The offer excludes investors. Qualifying borrowers who plan to use the property as their primary residence may receive up to 3.5% in closing cost assistance using the Fannie Mae HomePath Loan  on all properties listed on Fannie’s HomePath.com website, which provides detailed information about the surrounding community and nearby schools in addition to photographs and other physical data about the property. In addition to mortgage financing it allows for renovation mortgage financing with a 3% down-payment.

Fannie’s executive vice president of credit portfolio management, Terry Edwards, described the incentive as a tool designed to help reduce the inventory of vacant homes as much as a way to attract new buyers while interest rates remain low.