HomePath Mortgage Financing: Now Available

In the Phoenix area, there are plenty of homes currently for sale that are owned by banks. And if Fannie Mae is the lender who owns the home, chances are that the home will qualify for HomePath mortgage financing.

Overall, over the last couple of years mortgage guidelines have gotten tougher — and the HomePath mortgage program is one of the few programs that has come out where guidelines have actually gotten more lenient – for example, no appraisal is required and no mortgage insurance is required.

So if you are shopping for homes in the Phoenix area and you have found the perfect home that just happens to be owned by Fannie Mae, you might be in luck — there are actually two different types of HomePath mortgage financing available: The “regular” HomePath mortgage and the HomePath Renovation mortgage.

The “Regular” HomePath Mortgage
HomePath Mortgage Highlights
HomePath Renovation Highlights

The “Regular” HomePath Mortgage

When a home is eligible for the regular HomePath mortgage, they will have a logo “HomePath approved” on the MLS or on the sales sheets. You can also check on HomePath.com to see if a home qualifies.

HomePath Mortgage Highlights:

Low down payment and flexible mortgage terms (fixed-rate, adjustable-rate, or interest-only)
You may qualify even if your credit is less than perfect
Available to both owner occupiers and investors
Down payment (at least 3 percent) can be funded by your own savings; a gift; a grant; or a loan from a nonprofit organization, state or local government, or employer
No mortgage insurance
No appraisal required â€” the sales price is the value
No declining markets policy
No loans under $20,000
No more than 10 financed properties
No prepayment penalties

If you find a home that is owned by Fannie Mae and it isn’t move-in ready – you may still be in luck. The HomePath Renovation mortgage was designed for home buyers who are looking to do renovations prior to moving in and need financing for those renovations. If the home is going to be your primary residence and needs repairs, it may qualify for the HomePath Renovation mortgage.

HomePath Renovation Highlights:

Financing to fund both your purchase and light renovation
Low down payment and flexible mortgage terms (fixed-rate or adjustable-rate)
Down payment (at least 3 percent) can be funded by your own savings; a gift; a grant; or a loan from a nonprofit, state or local government, or employer
No mortgage insurance

If you are shopping for a house and you hear “owned by Fannie Mae” anywhere in the conversation – do yourself a favor and ask “does this house qualify for HomePath financing?” You may be surprised at how much money you can save by taking advantage of this program.