Homepath loan saves the day- No Appraisal!
Homepath in Washington State keeps moving along!
Great weekend with all the activity about the listings that Sundin Realty has for the Fannie Mae foreclosed homes. With 6% seller concessions, no appraisal, No MI what’s not to love! This will slowly make the difference in some neighborhoods.
I just rescued another deal where this incredible house was listed for $339,000 and the offer was for $341,000 with seller paying $6,000 in closing costs and Wells Fargo declined it due to low value or the new policy of using an AVM and the value was 10% out of perimeter so they don’t like it. Come May it is even going to be worst as National Companies need to order appraisals and they are guaranteeing value to the lenders…hmmm- value has always been what one will pay so how the hell they goin got do that?
Nothing to do with the fact that the appraisal was a licensed appraiser and is bonded and trained in the field…. and an AVM is like pulling off Zillow- never accurate and especially if you have a nicer neighborhood and less then a mile away has an ugly ran down neighborhood that you are now pulled into! I just can’t believe they will take an automated value over a true professional. UGGGH!~
Well I sometimes wonder about these big banks…. seem to be making it worst for themselves and society as a whole. I think we saved the day with our Homepath loan program! We are able to offer the same 95% loan and this time go the full 6% seller contributions and had en even lower rate! Clients are ecstatic…and I scored a new affiliate partner I hope for once again stepping out of the box and finding solutions to the problems of today.
We have a really incredible bridge loan as well that I think I will be offering training on next….I think it will be another GREAT TOOL that will make a difference of a tranasaction. For those struggling the box is getting smaller and for those who are adventurous I say it’s time to LEAP! Try something different- make sure you have the very best lender you have ever spoken with… market like you have never markete before….
As hard as it is to compete with the banks today….finding what works in this market and educating the Realtors and buyers has became my true passion and is what it’s all about! We all need to step outside the box, that is one thing that separates the application takers from the true professionals.
Yours truly,
A broker refusing to join them in the box!
Bill Black CMP
Not seen inside the box!
I am located in Spokane, WA and am considering purchase of a house that qualifies for HomePath Renovation Mortgage. Address is 4102 S. Martin, Spokane WA 99223. Fannie Mae asking price $179900.
I am working with a lender and have prequalified for conv and FHA. Current FICO 759.
I have read all the packaged stuff about the program, but would like to know more. The home needs a little work totaling less than $10,000. Is it possible to get an idea of total closing cost and current rate on a 30 yr fixed.
Is it possible to get an estimate of the cost breakdown with this product. Does Fannie cover closing cost? Is that the 6% of sale price?
What benefits could the Homepath provide vs a FHA?
Thanks, I hope to hear back from you.
Gary Walther
3422 S. Glenn
Spokane, WA 99206
Gary,
Nice to hear from you and I look forward to answering your questions pertaining to the Home Renovation Loan. This program requires a minimum of $5,000 in repairs so your $10,000 worth of work will qualify. So how it looks is a base price of $179,900 and then add the $10,000 so you have $189,900 purchase price with $10,000 going to escrow at closing to draw off this in the 90 day period as the work is complete. Usually only 1 draw during work phase then the final at job completion. (All work MUST be done by licensed contractor)
Major benefit of this vs. FHA is that you are financing in the repairs at purchase as well as you do not have the UFMIP or Up Front Mortgage Insurance Premium of 1.75% and you do not have the monthly mortgage insurance that is required on FHA.
Fannie Mae will still cover up to 6% seller contribution.
As far as rates this depends on the amount of down payment and very credit score driven based off your middle of 3 scores. Best rates are mid score above 740. The only difference you may see in closing cost is going to be the additional fees for inspections
I can show you some scenarios if we want to look at the options.
Bill Black CMP
Branch Manager
Loannetwork LLC
360-326-8891 O
360-910-3290 C