Fannie Mae Offers Closing Cost Help On Foreclosures

The out of pocket expenses incurred when purchasing foreclosed property just got a little less thanks to a new offering from Fannie Mae, the largest provider of residential home funding in the United States.

Fannie Mae announced on Friday, January 29th, that it would pay closing costs for buyers of foreclosed properties if the property was in Fannie Mae's inventory of foreclosed homes.
The inventory list can be found on a special website set up last year by Fannie Mae -- www.HomePath.com. Buyers of foreclosed homes can obtain up to 3.5 percent in closing cost assistance or an equal amount for the purchase of new appliances.

Fannie Mae has nearly 50,000 foreclosed properties in its current inventory and wants to clear them out, thus the closing cost incentive. The offer is available to any owner-occupant who closes on the property before May 1, 2010.

In addition, select Fannie Mae properties are eligible for special HomePath Mortgage and HomePath Renovation Mortgage financing which offers qualified buyers the ability to purchase with as little as 3 percent down.

Good luck and happy house hunting!

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