Seeking advice for a first-time homebuyer

[Naomi Gunter]

We are first-time home buyers. Our lender has approved us for a 150k loan for the Seattle area and is suggesting that we pursue a Fannie Mae home. We have up to 25k to spend on down but would rather not put that much down if not necessary.

- Can anyone share advice on how to go about successfully buying a house this way as a first timer? We literally know nothing about buying, let alone REO's.

- In the bank's opinion, do we have any advantage over investors?

- We will want at least 3 bedrooms, and the prices are high around here. How negotiable would the prices on Homepath be for someone in our situation? ie. could we look at a 200k house and offer less than that and still have a chance at it?

- We want to close by April 30th for the tax credit. I'm sure this depends on how good the lender/agents we are working with are, but is this even possible?

- Is anyone familiar with this area specifically? (Seattle). I've noticed that prices are cheaper farther south (Kent/Auburn) but we'd rather not go too far away from my husband's job on the eastside.

Some of these may be questions to ask our lender but we just got started in the process and I thought some of you may have some ideas. The posts in this forum have been very helpful so far.

Thanks in advance for reading and offering advice.

[Vincent Martinez]

Are you FHA approved? If you are then you should make sure that the REO property you intend on buying will be approved by the FHA as well.