Homepath dream home!!! Need help

[Jonathan Soto]

Good morning! This is my first time posting but this site has such a wealth of information. Anyways, so I found a beautiful home on Homepath, in a very desirable area. Its very old (built in 1926) and probably needs about 100k worth of work. The main issues are complete replacement of plumbing, new floor joists, and concrete work. In addition to the structural work, It needs some serious interior updating. This would be my first time purchasing a home and my wife and I are comfortable with an all in price of $450,000 including updates. The problem, is that Homepath has listed the property at $555,000 which I think is pretty ridiculous, considering all the work that needs to be done. I understand that there are programs that we would qualify for that would help with renovation costs and closing in addition to anything for first time home buyers. I only have 19 days until they release it investors. Any information you guys have would be greatly appreciated.

[Greg H.]

Homepath is a FNMA foreclosure and not a HUD so the 87% number listed does not apply. During the first 30 days or so FNMA(Homepath) will come off the list price very little. After 30 days, 10% is about the max these days. The property will be on the market for months and go through several price reductions to get to your number. If your number is $350K, keep an eye on price drops but consider a plan B for your dream home