Financing question

[Mark Doyle]

I am looking at a single family home in a chicago suburb labeled as a Homepath REO on the MLS. I am interested in the property as a buy and hold, but all offers must be cash only or using a 203k loan. As I understand it, a 203k loan is not available to investors. So for me, it would be cash only. My question is, what are the potential reasons Fannie would only accept cash offers? The house needs a good amount of work, but it is not a complete gut job. I'm trying to better understand it so I can come up with a strategy to purchase.

[Joe Villeneuve]

Fannie does this so they can put the home in the hands of a homeowner and not an investor.  If they don't get the offer they want, after a time period, they take it off this Path, and open it up to investors too.

One of the most important assets a REI can (must) have is.......p  a  t  i  e  n  c  e.