Navy Federal CU and HomePath Financing??

[Creditaddict]

Anyone know more about this product or especially if you have used this product?

If I'm not mistaken it allows a few very nice things:

5% Down at minimum

Family or friends may procide you with the down payment

It is okay if it's an investment property

and currently an ARM starting at 3% basically... what am I missing!!! LOL

Anyone know what the max DTI for Navy or this program is?

Can it be used when buying Short Sale or Foreclosure?

Thanks!

[webhopper]

Homepath financing is a fannie mae program to buy up foreclosed properties that are on fannie maes books. The house must qualify as a homepath house to get homepath financing. I looked into homepath once and its a pretty sweet deal. They opened up homepath to investors early this year if I'm not mistaken. You can either do a homepath loan or a homepath renovation loan (203k) if the house needs work.

Look at fannie maes homepath website to get a list of homepath homes.

I looked at a homepath home in late 2010 but decided not to get the house due to flooding issues on the main road between the house and my work. Not being able to get to work during heavy rains is not an option as that is when they need me there most!

[webhopper]

Homepath homes are usually only available to homebuyers during the initial 15-30 day period (not sure). After that investors can bid. Its a sweet deal for an investor because typically investment loans require 20-25% down payment.

The underwriting standards are "relaxed".... I don't know how relaxed; but I do know its easier than conventional.

homepath only requires $500 earnest money and 3.5% down. They also work with local housing authorities to help with downpayment assistance in neighborhoods that are in a stabilazation plan.

[Creditaddict]

Thanks!

I did quick search for underr $300k and the first 20ish are all "Online Offers" and another 15+ are "In Contract".

Ill call a realtor tomorrow to ask if any way to be ion the front of this crazyness! lol

[StartingOver10]

There is a little bit of misinformation in this thread.

Yes, you can get homepath renovation financing for investment properties for Homepath REO's (I sell a lot of them). Yes, they are fannie mae properties.

The down payment if you are an owner occupant for a primary residence is only 3 percent (3.5% is for FHA financing).

There is no pmi for homepath financing which is great. HOWEVER, the underwriting criteria is completely different from FHA financing. The score requirements are higher and if you are looking to do homepath financing with an investment type property the downpayment is larger. You can go right to efanniemae.com and look up their requirements directly.

Naturally one of the benefits is no appraisal, but that can be  a disadvantage too if you don't have access to recent comps or a decent realtor.

As to the inventory, it goes very quickly. So be persistent in your quest. Good luck.

[webhopper]

@startingover10

Thanks for your post! Do you happen to know what the DP requirement for investors is? I never got that far into my research as I stopped looking at the program once I realized that the house wouldn't work due to flooding potential of that main road.

I could see myself picking up more investment property in the future and this looks like a good program.

Thanks for your input!!!