HomePath Renovation Loan

[Mark S.]

So, I got my first property under contract!! 3 BR / 2.5BA, 1,248 sq. ft. townhouse. It's a Fannie Mae HomePath property (foreclosure). My agent asks me whether or not I'll be using the HomePath renovation mortgage.... What?! How could we have not realized this sooner?!

I'm waiting on the dollar amount - as he said it's a pre-set dollar amount, however, I'm floored we hadn't noticed it sooner. When we walked through and checked the place out, we estimated no more than $5,000 in rehab costs to get it in rentable condition - and $5,000 was a VERY conservative estimate!

If a house is eligible for a HomePath Renovation Loan, does that automatically mean there's a TON of work that it needs? I'm freaking out here, guys.... I definitely wasn't expecting this. Please advise. Thanks.