FANNIE MAE HOMEPATH PROGRAM

The Fannie Mae HomePath® Renovation program is specifically for borrowers who are purchasing Fannie Mae real estate owned properties requiring no to moderate renovations. Renovation costs cannot exceed 30k or 20% of the estimated completed value of the home. Eligible properties can be located at http://www.homepath.com. Mortgage insurance is not required.

Qualification is similar to that of any other type of mortgage loan. Limited banks offer this program. Key points are:

*Lender Paid Private Mortgage Insurance – non traditional PMI
*5% down Payment for less than 660 mid fico score, 3% with greater than 660 mid fico score
*No appraisal required
*Up to 6% Seller paid closing costs (Seller being Fannie Mae)

Can be a HomePath® Mortgage or HomePath® Renovation Program both for purchase of a Fannie Mae owned REO.
HomePath® Mortgage Financing

This special financing is available on Fannie Mae homes with the HomePath® Mortgage, HomePath® Renovation Mortgage logo.

The HomePath® Mortgage

The benefits include:

* 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 (Ask your lender for cost details on loans without mortgage insurance)
* No appraisal fees
* Also eligible for HomePath® Renovation Mortgage (see details below)
*HomePath® Mortgage financing is available from a variety of lenders – both local and national.

HomePath® Renovation Mortgage Financing

This special financing is available on Fannie Mae homes with the HomePath® Renovation Mortgage logo:

Available only on homes you make your primary residence and offers these benefits:

* 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* (lender paid MI)
* HomePath® Renovation Mortgage financing is available from several lenders.

You can check out more information at http://www.fanniemae.com/homepath/financing/index.jhtml

The website for the USDA Rural Development Guaranteed Housing Program is:

http://www.usda.gov/wps/portal/usdahome

For income eligibility requirements:
http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do

For geographical area eligibility:
http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do?pageAction=sfp&NavKey=property@11

RURAL DEVELOPMENT FINANCING

502 Guaranteed Rural Housing Loan – USDA

*No Down Payment
*No Mortgage Insurance
*No Cash Reserves Required
*No Loan Limits
*No First Time Homebuyer Requirement
*New and Existing Homes
*Fixed Rate Financing
*No Seller Contribution Limit
*Loan Amount Can Include Closing Costs & Repairs
*Available In Many Areas
*No Acerage Limitations

Rural Development (RD) financing is perhaps the most misunderstood home financing offered in the United States today. It however provides probably the best terms for home financing available. Best of all, this loan features the NO MONEY DOWN option. A “Common Sense” underwriting process.

Up to 102% LTV of the APPRAISED VALUE…AND any difference between contract sales price and appraised value may be used by the borrower to pay closing costs, pre-paids or repairs. The 2% Guarantee Fee charged by USDA can be added above the appraised value (financed).