Fannie Mae HomePath Program

HomeBridge is pleased to announce that we will offer Fannie Mae’s HomePath program on the Agency Conforming and High Balance loan programs effective Thursday, February 27, 2014.

HomePath Program Overview

HomePath allows borrowers to purchase Fannie Mae owned properties. Advantages to the borrower include:

• 5% down payment which may be from borrower own funds, gift, grants or secured loan from non-profit, state/local government or employer.

NOTE: Fannie Mae requires a minimum 5% borrower own funds (gifts/grants etc. may be used after 5% own funds requirement met) on the following:

– High balance,
– 2-4 unit primary residence with an LTV > 80%
– Second homes with an LTV > 80%

Reminder, gift funds are not eligible on investment properties.

• No lender appraisal required. The borrower may request and pay for an appraisal outside of the transaction but an appraisal cannot be submitted with the loan or the transaction is ineligible for HomePath except for West Virginia. Properties located in West Virginia will require, at minimum, a 2055, unless DU requires a full appraisal.

• No mortgage insurance required (a price adjustment will apply to LTVs > 80%)

• Seller contributions up to 6% of the sales price are eligible on owner-occupied properties up to 95% LTV.

HomePath Program Highlights

• Properties must be owned by Fannie Mae. To view eligible properties go to www.HomePath.com

• Eligible property types:

– 1-4 unit primary residence owner-occupied,
– 1-unit second home, and
– 1-4 unit investment.

• SFR/PUDs (attached/detached), and condominiums

• Conforming and high balance loan amounts

• Maximum LTV/CLTV per the HomeBridge Conforming and High Balance matrices except as follows:

– Expanded LTVs for investment properties with a conforming loan amount are:
– 1-unit investment: 90% LTV/CLTV
– 2-unit investment: 80% LTV/CLTV
– 2-4 unit investment and borrower owns 5-10 financed properties: 75% LTV/CLTV

• Minimum credit score:

– LTV/CLTV > 80% minimum 660
– LTV/CLTV ≤ 80% per DU

• 15 and 30 year fixed rate

• Subordinate financing eligible. If using Community Seconds, the program must be currently approved by HomeBridge. To view eligible programs, refer to the Approved DPA Program list, under “Working With Us