HomePath.Com Guide

*HomePath.Com* A special financing program to provide financing for buyers of FNMA Real Estate Owned (REO) properties FNMA deems eligible for HomePath Financing
Loan Products	This program is available with the following conforming products: Fixed Rate 15,20 and 30 year ARM loans 5/1, 7/1 and 10/1 (LIBOR-indexed)
Occupancy	Primary Residence Second Home Investment property
Eligible Transaction Type	Purchase Only We do not handle HomePath renovation financing. Please check the site for sources of this special mortgage program.
Property Eligibility	Loans must be secured by properties designated by FNMA on the www.homepath.com website as eligible for HomePath financing.
Private Mortgage Insurance (PMI)	Mortgage insurance is not required.
Eligible Borrowers	U.S. Citizens Permanent resident aliens (Green Card) Non-permanent resident aliens
Ineligible Borrowers	Foreign Nationals
Non-Occupant Co-Borrowers	Are allowed For loans with a CLTV greater than 95%, all borrowers must occupy the property as their primary residence For loans with LTV/CLTV less than or equal to 95%, standard conventional guidelines apply
Minimum Down Payment Requirements	For loans with LTV/CLTV from 80.01%-95%, the occupant/co-borrower must provide 5% of purchase price as a down payment For loans with LTV/CLTV > 95% there is no minimum contribution requirement from the borrower's own funds See Loan-to-Value (LTV) grid below for maximum LTV's
Eligible Source of Down Payment for Loans with LTV/CLTV > 95%	In addition to the standard sources of down payment, the following are also eligible when the LTV/CLTV exceeds 95%: Gift funds from acceptable donors Grants from a borrower's employer, public agency, or nonprofit organization, provided no repayment is required or expected Unsecured loans from a relative, domestic partner, or fiancee.fiance that comply with the following: The loan must be a fixed-rate loan at an interest rate not to exceed the note rate of the mortgage by more than 2% The loan can require a balloon payment provided it is not within the first five years od the loan The borrower must provide a document that is signed by the note holder that identifies the note holder's name, address, relationship to the borrower, and the terms of the loan; and The note holder cannot be an interested party to the transaction, nor can the note holder obtain the funds to lend to the borrower from an interested party to the transaction Unsecured loan from an employer, public agency, or legal agreement from the note holder and must disclose the terms and conditions of the loan In all instances above, evidence of the transfer of the funds to the borrower is required.
Documentation Required	Full documentation of assets and income is required Conforming documentation requirements apply to program
Documenting Rental Income from Subject Property	Because no appraisal is obtained by the lender on HomePath loans, a fully executed lease agreement is required in order to use rental income to qualify. If no lease is available, borrower to provide estimated rental income for loan delivery purposes only.
Eligible Automated Underwriting System	FNMA Desktop Underwriter (DU) Approve/Eligible of all programs is required DU Approve/Ineligible are permitted if only reson is: LTV greater than 85% for 1-unit investment properties; or LTV greater than 75% for 2-unit investment properties
Qualifying Ratios	The Automated Underwriting System will determine the maximum allowable debt-to-income ratio based on the overall risk assessment of the loan. A maximum allowable total expense ratio of 45% will be applied, with rare flexibilites offered up to 50% for certain loans with very strong compensating factors
Appraisal Requirements	No appraisal is required. Not required to represent the value of condition of the property. If the borrower, at its option, chooses to obtain an appraisal, then: The borrower must order the appraisal from an appraiser selected by the borrower (and not one recommended by the lender or its representative). and the appraisal must be paid for by the borrower outside the loan transaction Lender must not request a copy of the appraisal. If one is provided by the borrower then the loan cannot use the HomePath program. No inspections are required by the lender. An example might be the home that doesn't have appliances, it's not a program requirement to close
Determination of Property Value	Property value for purposes of loan delivery and for determining LTV/CLTV is the sales price of the property as evidenced by the sales contract between FNMA and the buyer/borrower ("Contract Sales Price")
Condominimum Transactions	Condominium projects do not need to be reviewed for project eligibility (this is a very big advantage in Florida today where you could be limited to 75% or less maximum financing without full project review), however, standard insurance validation for adequate hazard, flood, disability, fidelity coverage and HO6 "Walls In" is required. WOW, this means you have the ability to go 97% financing on a condominium used as a primary residence without PMI and without having to get the condominium project approved. And up to 90% financing when the unit is used for a Second Home or Investment property as well. That's a huge benefit on condo purchases in Florida today!
ReSale-Deed Restrictions	Not allowed
Manufactured Homes	Not allowed
Disaster Policy	Properties that are being financed using the HomePath program are exempt from the standard Disaster Policy as FNMA is validating value and condition
Minimum Credit Scores	Minimum 620 score for =< 80% LTV Minimum 660 score for =>80.01% LTV
Prequalification Required To Place Offers*	FNMA requires that you to be prequalified by having your application run through the DU Automated System and have the letter as part of your offer before they will accept your offer. You cannot present an offer directly. *A licensed Realtor® must present it for you. Just give us a call or go ahead and complete our online application to get started on the prequalification right now!
Maximum Loan-to-Values	Primary Residence: 1 Unit 97% 2 Unit 80% 3-4 Unit 75% Second Home: 1 Unit 90% Investment Property: 1 Unit 90% 2 Unit 80% 3-4 Unit 75%

Easy Purchase Estimates!

YOU DON'T HAVE TO TELL US YOUR LIFE STORY or have us pull your
credit to receive our estimate. Just tell us what you want to see. The
more complete you are, the more complete our estimate will be. A
good credit standing will be assumed for your quote.

How do you wish to be contacted?

*Name:
*Email:
Phone:
Fax:

PURCHASE DATA:

Property Address?:
*Purchase Price?:
*Mortgage Amount Wanted?:
*Primary, 2nd Home, Rental?:
Property Type: SFR, other?:

What Type Financing Do You Want To See?

*Conventional, FHA or VA?:
*VA - Now On Active Duty?:
*VA - Do You Have Your Certificate of Eligibility?:
*Any FHA or VA Loans Not Being Paid By Closing?:

What product are you asking for?

*Fixed or ARM?:
*Term In Years 30, 20,15?:

Escrow Account Data For Your Estimate

*Waive Escrows- Yes / No?:
*Amount R.E. Taxes?:
*Hazard Ins. Premium?:
*Flood Ins. Premium?:

Any Further Details, Variations or Questions:

What else do we need to know?:

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