Can I get closing cost credit of 3% on a fannie mae own property in illinois

Last update from Homepath request 5% down payment + closing cost.

Hi Jason - thanks for the question. Closing cost credits are agreed upon with the seller or asset manager bank owned or in this case Fannie Mae owned but as far as allowed on a the mortgage loan they are as follows: Fannie Mae loans are on a "sliding scale" and also depend on occupancy. Owner occupied property less than 10% down = 3% closing cost credit, 10 -24.99% down = 6% closing cost credit and 25%+ = 9% closing cost credit. Fannie Mae Owned Property such as Homepath up to 24.99% down = 6% closing cost credit, while 25%+ allows you up to a 9% closing cost credit. Investment property is limited to 2%. Remember it all depends on whether the asset manager agrees to the credit or not but these are the limits as far as your loan goes. Please let me know if you have any questions. Thanks. Sam @ Silvercreek. www.silvercreekfinance.com

Hi Jason - thanks for the question. Closing cost credits are agreed upon with the seller or asset manager bank owned or in this case Fannie Mae owned but as far as allowed on a the mortgage loan they are as follows: Fannie Mae loans are on a "sliding scale" and also depend on occupancy. Owner occupied property less than 10% down = 3% closing cost credit, 10 -24.99% down = 6% closing cost credit and 25%+ = 9% closing cost credit. Fannie Mae Owned Property such as Homepath up to 24.99% down = 6% closing cost credit, while 25%+ allows you up to a 9% closing cost credit. Investment property is limited to 2%. Remember it all depends on whether the asset manager agrees to the credit or not but these are the limits as far as your loan goes. Please let me know if you have any questions. Thanks. Sam @ Silvercreek. www.silvercreekfinance.com

Assuming that you are referring to the Fannie Mae Homepath financing - Yes, you can negotiate a seller credit towards closing costs. Actually, any seller can agree to a closing cost credit, not just this loan program. Homepath does save you some costs with no appraisal required and no PMI. However, I wouldn't limit yourself to just that loan program. You can also look into an IHDA (Illinois Housing Development Authority), which provides down payment assistance as well.

As mentioned, if 3% help has beem negotiated by your agent, it should be acceptable if you will be living in the home. I am always happy to assist whether I work on your financing or not; So if you need more information, a pre-qualification, or a competing rate quote you can go to my web page and use my live support button to discuss or get advice on anything at all with me. Web Address is: http://www.loansfromrob.com/quote/ Email is rhanson@gladewaternational.com and direct phone is 240-752-7549. Good Luck -- Rob Hanson

Seller paid closing costs are a negotiated item... Generally speaking, most banks and sellers will pay up to 3% if you just ask. www.Minneapolis-Mortgage.net

Everything is negotiable and Fannie Mae will likely be basing their decision on how much they net for the house after expenses including any closing cost credit they agree to in the contract. All conventional and government loans allow the seller to pay 3% toward closing costs; sometimes you can also work the the lender to get the same amount of credit but it will mean a higher interest rate - and 3% can be difficult to work into the loan pricing. Good luck!

Yes, you can ask for contributions up to 5%, however Fannie Mae is looking at the NET proceeds to them.. so, your offer along with all the other offers, they will look at which offer nets them the most.. if you offer is full price but 3% concessions, and someone else submits an offer for full price with no concessions, the other offer will win since it nets FNMA more money.. 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. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com