Is Now The Best Time To Buy A Home? With Fannie Mae’s HomePath Program, the answer may have just gotten easier.
Whether or not now is the best time to buy is a common question these days, especially among first-time homebuyers. With so many negative news stories about the economy and housing market, it’s easy to understand why.
The fact is, now could be a GREAT time to purchase a home but only you can decide whether or not it makes sense to buy now. Regardless, the decision should be a well-informed one that isn’t based solely on whether or not home prices will or won’t continue to drop.
There are many variables to consider with regard to timing your home purchase, but what it really boils down to is you and your family’s personal situation. With everyone’s needs being unique, rather than trying to time your purchase perfectly in line with the best time as it relates to the lowest home prices, consider these three important facts:
Fact #1 – Mortgage rates are at their lowest point in history.
Fact #2 – Whether we’ve hit the bottom of the housing market or not, there are some REALLY good deals out there.
Fact #3 – With Fannie Mae’s HomePath Program, not only are the rates low, there’s NO MORTGAGE INSURANCE for buyers that either can’t or don’t want to put down 20%.
So what is the HomePath Program? HomePath by Fannie Mae is a loan program offered by a select few mortgage lenders nationwide in hopes of moving some of Fannie Mae’s bank owned real estate (REO’s). HomePath addresses two major hurdles in mortgage financing right now; mortgage insurance and declining property values. HomePath does not require any kind of mortgage insurance, period. Also, HomePath does not require an appraisal (there is a HomePath Renovation Program that requires an appraisal). Here are some of the highlights of the HomePath Program:
- Finance up to 95% of purchase price with NO MORTGAGE INSURANCE
- NO APPRAISAL required
- Credit score as low as 660
- Available to both owner occupants AND investors
- Up to 6% seller concessions
- Down payment can be a gift
- No first-time homebuyer restrictions
- Flexible terms including fixed rate, adjustable rate and interest only
- No declining market policies
Only 26 lenders currently offer this loan program in the state of Georgia. Access National is a mortgage company currently offering the HomePath loan. With approximately 470 properties in the Atlanta metropolitan area being owned by Fannie Mae, homebuyers have a sizable inventory of homes from which to choose.
The increased foreclosure rate has caused mortgage lenders to restrict financing to only those consumers with high credit scores and large down payments. Fannie Mae’s HomePath Program is a great response to these issues and a great step towards helping the real estate market recover.
If you have questions about Fannie Mae’s HomePath Program or want to learn more about the home buying process, contact Craig Berry today. With over 11 years in mortgage lending, you can be assured you’re dealing with a seasoned mortgage professional.