HomePath Quick Reference Guide

By
Mortgage and Lending with Alterra Home Loans

This is the 5th installment of the Loan Program Quick Reference Guide and today I am focusing on the HomePath loan.  Monday I gave you the rundown on the standard FHA loan.  Tuesday it was the VA.  Wednesday I highlighted conventional loans and yesterday the spotlight was on the FHA 203(k) Streamline loan.  The HomePath is a good loan but it is very limited since it can only be used on FNMA-owned homes that are designated for the HomePath.  Here are the highlights:

HomePath Mortgage allows a borrower to purchase a Fannie Mae-owned property with a low down payment, flexible mortgage terms, no lender-requested appraisal and no mortgage insurance. Expanded seller contributions to closing costs are allowed.

 

Benefits to Buyer

·       Low down payment and flexible mortgage terms (fixed–rate, adjustable rate, or interest–only-Primary Residence).

·       Down payment (at least 3 percent) can be funded by the borrower’s own savings; a gift; a grant; or a loan from a nonprofit organization, state or local government, or employer.

·       No lender-requested appraisal.

·       No mortgage insurance.

·       Expanded seller contributions for closing costs allowed.

·       Many condo project requirements are waived.

·       10% down payment requirement for 2nd Home and Investment properties!

 

Posted by

D. Jed Wunderli

Certified Mortgage Planner

Alterra Home Loans

702-812-1214

Comments (2)

Paul Lesieur
203kloanmn - North Oaks, MN

Jed, thanks for educating me on the Homepath loan. I do 203k consulting and knew nothing about Homepath.

Good stuff!

Jun 10, 2011 09:45 AM
Jed Wunderli
Alterra Home Loans - Las Vegas, NV

Paul - you are welcome.  Keep pushing the 203(k) Full and Streamline - more people need to know about them and use them.  Have a great weekend.

Jun 11, 2011 05:54 AM