Are there any banks lending to investors who are looking purchase property with less than 20% down?

Nothing in the conforming environment, you may find some hard money lenders that will do it.

The only option is on HomePath homes... HomePath is a loan product offered on Fannie Mae foreclsoed home that are designated "HomePath Home".. so you cannot just drive down the street and purchase any home using HomePath... but under these homes, you only need 10% down, but you need to find a lender that does not have any additional guidelines which prohibit financing 90%... inherently, investor loans are much more risky than the home you live in... the lenders know this and price their loan accordingly... if you don't have 20% down, then even going to a hard money lender will not help.. HML's will usually require 30% + initially.. if you have used the same HML for several properties, then they will often times have reduced down payment programs for their preferred clients so it's possible in the future you might get a break, but not initially... I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

William's suggestion of HomePath is a good one, but you will be limited to FNMA owned properties. Also, with less than 20% down for a HomePath loan the rate will be pretty high -even considering the is no PMI. You should expect higher fees as a possibility as well. Good luck!