“Another Renovation Loan Product”

“Another Renovation Loan Product”

 

 

I found a residence I am interested in, it is a Fannie Mae home path property, for $260,000. What are the pros and cons of a homeopath house and using the Possible home path renovation?

 

I originally pre-qualified this client for a conventional mortgage but now we are going in a different direction. My client has found a home that needs some renovations. Fannie Mae offers a loan product that is specific for property that they own. We are fortunate to have a number of lenders that makes this loan product available to my clients.

 

When we do a mortgage application for a home involving renovations we need to have a bid for the work in order to do a complete application. With this transaction the clients are now beginning the search for a contractor which may delay the process until that is accomplished.

 

We do a lot more FHA 203 K renovation loans, but in this case it is not the right option for this client.

 

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Joe Petrowsky, NMLS #6869

Right Trac Financial Group, Inc. NMLS #2709

110 Main St.

Manchester, Ct. 06042

Office: 860 647-7701 x116

Fax: 860 647-8940

Cell: 860 836-9294

Email: joe@righttracfg.com

www.righttracfg.com

www.joepetrowsky.com

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Joe Petrowsky does not guarantee nor is in any way responsible for the accuracy of the information provided herein, and provides said information without warranties of any kind, either expressed or implied.

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Comment balloon 25 commentsJoe Petrowsky • January 22 2016 01:01PM

Comments

I'm sure you can recommend the right lenders that can help with this renovation loan product.

Posted by Lawrence "Larry" & Sheila Agranoff. Cell: 631-805-4400, Long Island Condo & Home Sale Specialists (The Top Team @ Charles Rutenberg Realty 255 Executive Dr, Plainview NY 11803) almost 2 years ago

Hi Joe.  It sure sounds like a good option for this buyer.

Posted by Gabe Sanders, Stuart Florida Real Estate (Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales) almost 2 years ago

I'm meeting with clients today to view several houses, one which might need some kind of renovation loan. It's good to know there are several types.

Posted by Kat Palmiotti, The House Kat (Grand Lux Realty, 914-419-0270, kat@thehousekat.com) almost 2 years ago

Good morning Joe.  We don't have many of them around here but they do come on the market now and then.  They don't last long once they become available

Posted by James Dray, Exceptional Agents, Outstanding Results (Fathom Realty AR LLC) almost 2 years ago

There are new loan products rolling out on a daily basis.  You need to keep checking for different options for your client.  I recommend several loan officers and make them work for their business.

Posted by Peter Mohylsky, Your Bucket List Broker in Destin, Fl.. (BETTER HOMES AND GARDENS REAL ESTATE) almost 2 years ago

Good morning Joe Petrowsky,

Searching for the right contractor may delay the process slightly but the end result will be worth it! You always find the right loan product for your client!

Posted by Dorie Dillard, Serving Buyers & Sellers in NW Austin Real Estate (Coldwell Banker United Realtors® ~ 512.346.1799) almost 2 years ago

Good morning Joe. Great niche product for buyers and for lenders who offer it! Enjoy your day!

Posted by Wayne Martin, Real Estate Broker (Wayne M Martin) almost 2 years ago

The man that always has the clients best interest at heart.  You guided them well Joe.

Posted by Roger D. Mucci, Lets shake things up at your home today! (Shaken...with a Twist 216.633.2092) almost 2 years ago

Renovation is not for every buyer....but for those who undertand what that really means...having more than one option is always a good thing...we have several here along with some local "in house" creatiuve programs.

Posted by Sally K. & David L. Hanson, WI Realtors - Luxury - Divorce - Short Sale (Keller Williams 414-525-0563) almost 2 years ago

Good morning again Joe. You are on your game and it is so wonderful to recognize you make it your business to know all the available options.

Posted by Sheila Anderson, The Real Estate Whisperer Who Listens 732-715-1133 (Referral Group Incorporated) almost 2 years ago

I am sure you will find the right fit for this client. I have not had a client with this type of loan but I am sure my day will come. 

Posted by Sussie Sutton, UTR TEXAS Realtors - Rep for buyers and sellers. (UTR Texas Realtors) almost 2 years ago

Joe - not every applicant has the same needs.  It is good that you can find anyone the right solution.

Posted by Grant Schneider, Your Coach Helping You Create Successful Outcomes (Performance Development Strategies) almost 2 years ago

Good to know Joe Petrowsky and it is good to know Joe.

Bill Roberts

Posted by Bill Roberts, "Baby Boomer" Retirement Planner (Brooks and Dunphy Real Estate) almost 2 years ago

Joe,

You are the perfect man to know for all kinds of issues.  A

Posted by Ron and Alexandra Seigel, Luxury Real Estate Branding and Marketing (Napa Consultants) almost 2 years ago

Joe good to have access to several loan products because there is no one loan product that is right for every borrower.

Posted by George Souto, Your Connecticut Mortgage Expert (George Souto NMLS #65149 FHA, CHFA, VA Mortgages) almost 2 years ago

Hi Joe... this is a loan option I've heard about, but have never had any personal experience with. At the end of the day, it's good to know there are options for different kinds of borrowers.

Posted by Nina Hollander, Your Charlotte/Waxhaw/Fort Mill Area Realtor (RE/MAX Executive | Charlotte, NC) almost 2 years ago

I have a client interested in a HomeSteps Mortgage. I haven't done one of those but have done the HomePath. I think they are similar.

Posted by Debbie Reynolds, Your Dedicated Clarksville TN Real Estate Agent (Platinum Properties) almost 2 years ago

My experience is Fannie Mae overprices its properties and charges through the ying-yang for the no-appraisal loans; although I cannot speak to the renovation Fannie Mae loans, I imagine they follow the same scenario.

Posted by Elizabeth Weintraub Sacramento Real Estate Agent, Top 1% of Lyon Agents, Put 40 years of experience to work for you (Lyon Real Estate) almost 2 years ago

What is the advantage of a homepath loan over a 203K loan? I've done several 203K loans with buyers, but not a homepath rehab loan. 

Posted by Debbie Laity, Your Real Estate Resource for Delta County, CO (Cedaredge Land Company) almost 2 years ago

Joe

Thanks clearing some questions on the FHA 203K mortgage.

Good luck and success.

Lou Ludwig

Posted by Lou Ludwig, Designations Earned CRB, CRS, CIPS, GRI, SRES, TRC (Ludwig & Associates) almost 2 years ago

Too bad it did not work out Joe. You know your loan products very well.

Posted by Noah Seidenberg, Chicagoland and Suburbs (800) 858-7917 (Coldwell Banker) almost 2 years ago

Good Morning Joe:

We did a two transactions already involving 203k loans for HUD homes. Although there were more work and pieces involved...we did it. And I don't think they were daunting. It was just a bit challenging but I love challenges.

To add, I concur with Elizabeth Weintraub Sacramento Real Estate Agent, Top 1% of Lyon Agents - Fannie Mae homes are mostly overpriced especially when they need tons of work. Some homes they sell had been fixed, but they were cheaply done.

 

Posted by Maria Gilda Racelis, Home Ownership is w/in Reach. We Make it Happen! (Home Buyers Realty, LLC-Manchester, Bolton. Vernon,Ellington) almost 2 years ago

Hi Joe --- you definitely bring abundant knowledge to the table when it comes to matching the loan product and the borrower. 

Posted by Michael Jacobs, Los Angeles Pasadena Area Real Estate 818.516.4393 (Coldwell Banker Residential Brokerage) almost 2 years ago

Ironic as I have a client just starting the 203K process and hopefully we will get no snags

Posted by Ed Silva, Central CT Real Estate Broker Serving all equally (RE/MAX Professionals, CT 203-206-0754 ) almost 2 years ago

This is product that I have not used. Thanks for sharing your experience and this solution.

Posted by Roy Kelley, Roy and Dolores Kelley Photographs (Realty Group Referrals) almost 2 years ago

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