Financing in Port Charlotte>Question Details

Michelle, Both Buyer and Seller in Port Charlotte, FL

We are trying to buy a Homepath renovation loan. Very confusing stuff!!

Asked by Michelle, Port Charlotte, FL Wed Feb 24, 2010

Anyways, They are telling us that we will have 90 days to make any repairs they want done (out of our pocket cost) BEFORE they will finance us for the house. Is this normal, to pay for something "house" thats not even yours yet?? AND there are only 2 finacial companys that will do this type of loan???

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No worries Michelle, I'm not in KS anymore (sorry, I had to say it). Wells fargo is a good company. I don't know if they do HomePath loans. HomePath is only for Fannie mae. You won't be able to go FHA 203K on this property. It would have to be a HUD foreclosure. You may also want tocheck out the Homestyle renovation loan for fannie mae. This requires 5% down, instead of 3%. Homepath is a rare loan and not many people are well versed. Its hard to find info about it (underwriting guidelines), so excuse people for giving false info. You can check out and click on single family homes for a list of programs and guidelines on fannie mae. And although i'm not licensed in KS, feel free to pick my brain. As Sam mentioned, switch lenders.
0 votes Thank Flag Link Wed Feb 24, 2010
Hi Michelle,

Contact your lender. Sounds like a miscommunication. You have 90 days "after" you close and take ownership to complete the repairs/upgrades. Here's some info:…

Good luck with your new home!

1 vote Thank Flag Link Sun Feb 28, 2010
Michelle, The Home Path loan is a 3% deal that allows up to $30,000 of repairs but the repairs must be made prior to moving in. They do give you 3 months to make the repairs, but that's why they allow you to finance up to 6 mortgage payments into the loan. This is after you close but before you move in. Home Path is hard to find lenders for because FHA's 203K program is much better. There is no mortgage insurance (it's put into the rate) and no appraisal fee. Used for Fannie Mae foreclosures. FHA's program allows you to buy a home with 3.5% on a house ($100 down on a HUD foreclosure) and borrow up to $35,000 or 110% of the after repair value (whichever is less). You may borrow an additional $10,000 for energy efficiency and weather stripping. However, you can move into the house while the repairs are being done. You'll have 2 months to finish the repairs. The FHA rate is better and the mortgage insurance rate is lower. It's easier to qualify FHA vs Fannie Mae. I am licensed in FL if you need help with your loan.
1 vote Thank Flag Link Wed Feb 24, 2010
Michelle: Prime Lending is a Fannie Mae approved Homepath Renovation program lender. I am located in Lawrence, KS. Call me at 785.766.3283, if you want to discuss this product and your concerns. I just read a number of posts and there are facts and figures that everybody wants to tell you. some are true and some less true. I am located in Kansas. Have lived here my whole life. I would be happy to visit with you about how we view this product and how we conduct the process. Bill Pollack makes some excellent points regarding FHA, etc..
Tammy points out one of our company's best loan officers in Florida.
I just thought I would reach out to you, being that I am in Lawrence and we do these loans all over the state.
thanks!! -Brian Boyle ( i just signed up w/ Trulia when i saw this post ) ha!
0 votes Thank Flag Link Mon Mar 7, 2011
I have an excellent resource person that could answer any of your questions. Give her a call.
Courtney Wright
Mortgage Loan Consultant
Phone: 239-425-1713

Hope this helps.
Tammy Hayes, Sandals Realty, Punta Gorda, FL
0 votes Thank Flag Link Thu Oct 28, 2010
Thank you Alma! I will try and work with colonial because Flagstar was NO help! :)
0 votes Thank Flag Link Mon Mar 1, 2010
These are the ONLY lenders you can get the HomePath Renovation mortgage from. If your lender is not one of these, then that may explain the erroneous info. If you already have a contract on the property then call one of these or go online and apply:

Colonial National Mortgage, a Division of Colonial Savings, F.A. »

(888) 669-0784
Serves 45 US states, no lending in: NY, NJ, DE, ND, SD

Flagstar Bank »

(877) 374-3562
Nationwide-Apply online 24/7
Call M-F 8:30 a.m. - 9 p.m., S 9-5 p.m. EST.

Standard Mortgage Corporation »

(504) 569-3787
Serving: AL,LA,GA,MS,TX,FL,TN.
Call 8:30 a.m. to 5 p.m. CST Mon- Fri
0 votes Thank Flag Link Sun Feb 28, 2010
Bill is it possable to change loan type? Also It's a hompath renovation loan alot diffrent then just the homepath loan, were finding out... The bank (Flagstar) said we had 90 days to fix it then they would do the loan for us?? Kinda crazy to fix ANYTHING not legaly yours and VERY risky! The worst thing of all is the listing agent is NO help and we now are working with another lady from the same company to see if she can come up with a way out of this type of risky loan. It's my dream place and I dont want to give up just yet thats why I'm seaking any help or information out there about the homepath renovation loans.

Thanks :)
0 votes Thank Flag Link Thu Feb 25, 2010
Michelle....our HSL/Wells Fargo affiliate in Kansas is Lisa Snead at 913-266-5659...give her a call and see if she can help you locally....Good luck..
0 votes Thank Flag Link Wed Feb 24, 2010
You all are SO much help!! I have hope again that this dream home might still come true!!! So you are telling me that we can get fannie mae to change the loan type? The relitor lady is NOT helping us at all!! And the person we talk to at flagstar is the one telling us to fix the house before we can buy it. the other company is Colonial National Mortgage, After all the run around we have done on this we just felt it was a dead end... And Bill I'm sorry, I'm not sure why it says I'm in FL i'm in Kansas.
0 votes Thank Flag Link Wed Feb 24, 2010
Michelle....If you will call me, I will provide you another way to purchase and finance the home through either conventional or FHA renovation lending. The renovations would be completed after the closing of the home by an approved contractor.

Sam Thompson 770-301-0527
0 votes Thank Flag Link Wed Feb 24, 2010
No, Michelle, I have never heard, nor would I allow my buyers to put money
into a home they don't own.

Who are "they are telling us..." ?
0 votes Thank Flag Link Wed Feb 24, 2010
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