Fannie Mae Homestyle® Program: Happy Real Estate Investing!
If you are an investor who is looking to buy and hold a Fannie Mae owned property that needs rehabbed, we have great news for you!
It is called the Fannie Mae Homestyle® Renovation Mortgage Program.
This program lets the borrower combine the cost of the purchase price, and the rehab costs!
At closing, all funds for your rehab will be escrowed in an interest-bearing account. After all the construction work is complete, any remaining funds in the escrow account will be used to pay down the principal balance of the mortgage!!!!!!!!!!
Buyers can pretty much do any type of repairs to the property that they want to, as long as the appraisal supports the value! You have 6 months to do the work, and the rehab costs cannot exceed 50% of the after repair value.
Homestyle® Features:
- Loan amount based on completed value but capped at the current FannieMae loan limits.
- Low 5% minimum down payment
- 700+ credit score and verifiable income required
- Virtually unlimited on types of repairs but funds for renovation are capped at 50% of the completed value of the property.
- Second homes and investment properties allowed (some limitations apply)
- Fixed or Adjustable rates (ARM’s) available
- Can finance up to six months of mortgage payments for owner-occupied properties to cover non-occupancy costs during construction. For example, if you have to spend six months renting an apartment while your home renovation takes place; you can roll those expenses into your loan amount.
If you have any questions about this program, give us a call and we will get you pointed in the direction of a Gladiator Approved Mortgage Professional that can make a real estate investments happen for you!
CALL OR EMAIL US TODAY: (317) 871-1000
Have a Profitable Day!
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