Find affordable Fannie Mae owned homes through the company's Home Path website.
Fannie Mae buys mortgage loans from mortgage lenders. When Fannie Mae takes back a home through foreclosure, it offers the home for sale through its network of affiliate real estate brokers and agents. Fannie Mae holds mortgages throughout the U.S., and it typically has homes ranging from modest condos to larger single family homes. Buyers of Fannie Mae homes may qualify for mortgage financing through Fannie Mae's Home Path Program.
Instructions
1. Hire a real estate agent to represent you and advise your agent that you want to buy a Fannie Mae home. This sets the stage for negotiating on the Fannie Mae home you want. A bonus of buying a Fannie Mae home is that you may qualify for seller financing and incentives. Working with a licensed real estate agent evens the playing field when negotiating the terms of a purchase offer. Real estate professionals can also help with locating mortgage loans and other resources for home buyers.
2. Work with your real estate agent or broker for determining your negotiating strategy.
Discuss your needs and preferences for a home with your real estate agent or broker. Knowing your priorities and preferences assists your real estate agent with negotiating terms of sale. Avoid buying a home on impulse or because it "seems like such a good deal." Find a home within your price range, and if having granite countertops is important to you, negotiate for a credit for replacing the old countertops. Knowing what home features are negotiable and what is essential for your new home is useful for making a counteroffer.
3. Read all sale documents carefully, as Fannie Mae homes are typically sold in "as-is" condition, with no guarantees of home condition, repairs needed or potential issues affecting occupancy or safety of the home you're buying. Homes requiring repair open the door for negotiations. Options for making a counter offer include asking for a credit of a specific amount to cover repairs and deferred maintenance, requesting the seller (Fannie Mae) to pay your closing costs, or counteroffering with a lower purchase price. Your real estate agent or broker can suggest appropriate terms for a counteroffer.
4. Understand Fannie Mae's motivation for selling homes it owns. This provides insight into the type of negotiations that may be most effective. Fannie Mae is a huge corporation that has no emotional ties to homes it's selling. Converting non-performing assets (foreclosed homes) to performing assets by selling such properties and financing their purchase with Fannie Mae mortgage loans is the company's goal. Buying a home from Fannie Mae with a Fannie Mae mortgage prevents the stress of making an offer on a house that depends on finding and being approved for a mortgage loan.
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