Renovation Loan question - homepath single family house bid

[Hanan K.]

Hi,

This is my first post on Bigger Pockets so thank you in advance for your help and advice. I live in the NYC metro area (Westchester County)

I've found a Fannie Mae Home (homepath) that I'd like to bid on and I have a few questions regarding the bidding process and the occupancy requirements.

First off, the house is being offered at $300K. I don't think it's worth more than $250 considering that amount of work that needs to be done. 

--> Should I start with my highest bid or should I start a bit lower --say at $235K and go up from there if I'm given the opportunity?

--> My second question revolves around the occupancy requirement. I'd like to bid as a homeowner during the First Look period, rather than an investor since I have no problem with living in the house, but I am concerned about being locked into a full year.  Do I have other home owner renovation loan options where I won't be bound to the 1 year requirement? What If I break the 1 year occupancy requirement? I have looked at multiple forum discussions on this but there seems to be a certain level of disagreement and it appears the occupancy requirement has been negotiated  by some buyers ---yet my realtor insists that in NY state there is no negotiating.

----> Last question - and this may belong on another part of the forum. Does anyone have any experience with black mold remediation? I'm just wondering how difficult it is to completely rid the home of it.

Many thanks