Fannie Mae HomeStyle Program For Investor Purchases of Distressed Properties

1. Breaking News Fannie Mae HomeStyle ProgramFor Investor Purchases of Distressed Properties Aaron Bacus, @FHA203K_Guru First Guaranty Mortgage Corporationturning your hard to sale bank owned properties into a closed escrow in 60 days or less(800) 282-1281 x 4961abacus@fgmc.com http://FHA203Konnect.info FNMA HomeStyle Program Distressed Home Accounted for 39% of Home Sales nationwide and Investors Purchases jumped 65%. Since Community Bank are no longer offering short term financing investors are scrambling for LOC’s, by turning to Hard Money Lenders with extremely high rates; low LTV and deep add on fees. Let me help you get the word out to your investor purchaser of the FNMA HomeStyle Program. A TheFannie Mae HomeStyleLoan program can be used by investors to purchase these distressed properties with the intent for resale or to keep as income producing properties.  It’s a lot like the FHA 203K loan program, and a perfect loan program for investors looking to take advantage when purchasing of these below market value homes. Highlights of the Fannie Mae HomeStyle Loan The HomeStyle Renovation mortgage program allows borrowers to combine the cost of the home with the costs for renovation or remodeling. At closing, all funds for renovation will be escrowed in an interest-bearing account. After all renovation work is complete, any remaining funds in the escrow account will be used to pay down the principal balance of the mortgage. Fannie Mae HomeStyle Renovation Loan Highlights: Up to 95% LTV (see LTV occupancy requirements below) Renovation funds escrowed in an interest bearing account Soft costs (architectural services, engineering, permit fees, etc.) may be financed Loans are underwritten to standard FNMA guidelines Loan Amt $50,000 to $417,000 1 & 2 Family Units /Modular/PUD/FNMA Approved Condo’s Can own up to 10 properties including their Primary Residence. FICO Scores from 680 to 740 with specific limitations to LTV Fixed Rate Loans Only with 15 and 30 yrs terms Up to 6 months of payments can be included in the loan amount HomeStyle Renovation Loan LTV Requirements: Primary Residence – Up to 95% LTV Second Home – Up to 90% LTV Investment Property – Up to 75% LTV HomeStyle Renovation Mortgage: More Information Borrowers can basically do any repairs / renovation to the home that they want as long as the appraisal supports the improved value, the improvements are common for the area (pools, for example), the repairs can be completed within six months, and the repairs do not exceed 50% of the after improved appraised value. The HomeStyle renovation mortgage isn’t quite as good as the Fannie Mae HomePath renovation mortgage – BUT – the HomePath renovation loan is only allowed on homes that are currently owned by Fannie Mae. Does Your Investor/Property Flipper need a funding source to purchase that great deal you found for them? Well ,here is a resource you need not pass over!