All Forum Posts by: Julia Dugger

HomePath properties are all sold as is -- you can, of course, try to renegotiate but unless this is a financing issue you are unlikely to be successful. You have 10 days from the contract acceptance date to inspect and walk away if that's what you choose to do so the clock is ticking.

 Owner occupants do typically bid higher -- often by several percentage points.

As background, these are generally implemented for PR and government relations purposes. Like it or not, lenders and selling banks are overseen by government regulators who often prioritize owner occupants in policy decisions and talking points. It's in the banks' best interests to say that they give owner occupants a first shot at properties -- good for communities, neighborhood stabilization, etc. -- so I think they're probably here to stay. I know that many asset managers will do a quick property check on buyers before accepting an offer to see if they own anything else and confirm that the buyer is not an investor.

 Given the notices, it likely HAS been foreclosed in which case Fannie Mae is now the owner -- I recommend you not call the former owners.

If Fannie Mae owns the property, you can't make an offer on it until it's listed on HomePath and even then, it will go into the FirstLook period for the first 20 days it's listed (I'm guessing you'll be offering as an invested, not an owner occ). If you want notification on when it's listed on HomePath.com, you can set up property alerts by zip code on the site. Once it's listed, you'll need to wait until the FirstLook clock expires and then place your offer.

It can take some time before the properties are listed - it varies based on redemption/confirmation period requirements, occupancy issues, repairs/remediation needed and performed, title issues, etc. Shortly, you should be able to establish who the listing agent is and they may be able to give you a better idea of what the potential timing looks like.

 Suzie, there are a few differences that are important to note:
- During the first 180 days the property is listed, only offers of 100% of value can be accepted (HUD requirements)

- Offers will be placed via your agent to the listing agent (standard way) instead of using HomePath online offer system

- Generally, no repairs will be done on the properties in the first 180 days

Essentially, Fannie Mae is handling the HECM properties on behalf of HUD and must follow their (strict) guidance on how they can be managed and sold, particularly during the first 180 days.

HomePath.com is the most accurate representation of listed foreclosures that belong to Fannie Mae. The site updates nightly with status, First Look and price changes. Sometime agents do not update their MLS and cause a discrepancy as well. The one situation where a Fannie Mae owned property does NOT show up on HomePath is with reverse mortgage foreclosures (HECMs) as they are handled differently due to HUD requirements. The property in question may a HECM.

Wendell, the issue becomes how and when you place the offer:

- if you place an offer during the FirstLook period (typically the first 20 days a property is actively listed) and identify yourself as an owner occupant, you will be required to sign a binding document that asserts that you will live in the property as an owner occ for at least 12 months. If you misrepresent your intent, you're liable for a $10K penalty and Fannie Mae will pursue judgment on these

- if you place an offer after the First Look period and identify yourself as an investor (or an owner occ, for that matter) then you're bound by the deed restriction will prohibits you from selling within 90 days for more than 120% of purchase price. After 90 days, you're free to sell at whatever price you can get.

Trying this again in the right format!

Hi! I'm a small investor in the DC area and looking to expand over the next few years. My day job, which I love, is all about managing REO programs for a GSE (I'm happy to help answer relevant questions on that front) but I'm also looking ahead to start preparing for the inevitable next phase in my life. I have an MBA, a wealth of experience in mortgage finance at a macro level, a broad knowledge of the inner workings of the foreclosure process and REO management and I want to leverage all of those things and develop my own portfolio. I'm currently sticking with rent and hold (I own a duplex in DC as well as my own house) though I'm also pursuing a purchase in the Disney area to operate as an AirBnB property. It's something of an experiment.

I've always been generally aware of BP but I'm happy to be joining and plan to plumb the depths of the site's collective knowledge!

Cheers,

Julia

Hi! I'm a small investor in the DC area and looking to expand over the next few years. My day job, which I love, is all about managing REO programs for a GSE (I'm happy to help answer relevant questions on that front) but I'm also looking ahead to start preparing for the inevitable next phase in my life. I have an MBA, a wealth of experience in mortgage finance at a macro level, a broad knowledge of the inner workings of the foreclosure process and REO management and I want to leverage all of those things and develop my own portfolio. I'm currently sticking with rent and hold (I own a duplex in DC as well as my own house) though I'm also pursuing a purchase in the Disney area to operate as an AirBnB property. It's something of an experiment.

I've always been generally aware of BP but I'm happy to be joining and plan to plumb the depths of the site's collective knowledge!

Cheers,
Julia