Foreclosure in Austin>Question Details

Delta, Other/Just Looking in Austin, TX

will fannie mae provide a survey for house if I buy a foreclosure from them?

Asked by Delta, Austin, TX Sat Feb 25, 2012

I am making an offer on a house that is foreclosed. Will fannie mae provide a survey or do I need to buy it?

Help the community by answering this question:

Answers

14
With the past 3 foreclosures I've helped clients purchase, we've been able to negotiate enough closing costs to cover a survey. In the end, it all depends on what the owner (bank, Fannie Mae, Freddie Mac or HUD) will net on the property. If you and your agent are presenting an educated offer, you might get lucky.
Good luck,
Gina Nyland, REATOR, GRI, e-pro
Buyer's Agent
The Nyland Team
Prudential Texas Realty
Web Reference: http://www.nylandteam.com
1 vote Thank Flag Link Sat Feb 25, 2012
Typically with foreclosure properties, the banks or Fanny Mae in this case, sell the property as-is. They do not negotiate on repairs after you have had an inspection and if they don't have the survey they won't spend money to get one done. But of course you should have an inspection done to make sure you are not buying something that you will regret. More specifically to your question about survey - I would recommend that you plan to have one done. And unless you are buying for cash, your lender will require it anyway. You should talk with a good real estate agent who can a) help you with this transaction, and b) who can contact a title company for you IN ADVANCE of making the offer to see if there are any known title issues.

Good luck with this one and feel free to contact me if you would like to discuss further.
1 vote Thank Flag Link Sat Feb 25, 2012
Delta,

The answer is no. In fact, an existing survey won't work either because they are not going to sign the T-47 affidavit. You could ask for closing costs. Feel free to contact me anytime because there are some special provisions that might make your offer more attractive(regardless of price) versus any possible competition.

Steve Nusinow
(512)922-7588
1 vote Thank Flag Link Sat Feb 25, 2012
Hi Delta,
No Fannie Mae will not provide a survey. What I do for my clients is try to find the most recent survey available.
Most times the Survey company will come out and update survey at a reduced price, Now keep in mind we do not get lucky all the time and Survey company might charge full price!
Hope this helps!
1 vote Thank Flag Link Sat Feb 25, 2012
They will not directly pay for a survey but you can negotiate to some closing costs paid with your offer. If a foreclosure does have a survey most tile companies and lenders will accept it without a T-47. I have had them accepted just about every time if no changes have been done to the property.

Best of luck to you.

Don Groff
REALTOR® | Mortgage Broker
Keller Williams Realty | 360 Lending Group
o.512.669.5599 m.512.633.4157
listings@dongroff.com
0 votes Thank Flag Link Wed Mar 14, 2012
No, Fannie Mae will not pay for surveys.

They usually will pay 3 to 4 percent of buyers closing costs.

They generally will not make any repairs.

Fannie Mae usually sticks close to their sales price.
0 votes Thank Flag Link Sun Mar 4, 2012
Like some of the others before me, we asked Fannie Mae to pay for a survey and also Home Owner's Warranty (Residential Service Contract). They changed the contract to Buyer pays Survey then added the cost of the survey and the HOW to the other seller paid closing costs we requested in the Contract and itemized those in the other provisions section at the end of the Fannie Mae Addendum. The total was approximately 6% of the Sales price, which is the maximum that FHA or USDA will allow. My client received zero down USDA financing and was reimbursed for her out of pocket payments (home owner's insurance and property inspection) as part of the Seller contribution to Closing costs. She also received her earnest money making this loan a tru zero down USDA direct loan. It closed last Wednesday.

The critical factor here was that Fannie Mae got their price for the home since this was a multiple offer situation. Some Fannie Mae negotiators will try to tell you that they won't pay for the Survey or home owner's insurance as part of their contribution to closing costs, until you remind them that they agreed in the contract that the Seller's contribution includes any lender required costs. Sometimes, the listing agent will pay for repairs to get the deal done, otherwise Fannie Mae will require in their addendum that the cost of any lender required repairs be added to the sales price. There is a way around this, too, in some cases.

Bottom line, don't expect to offer significantly less that the listing price and get significant concession from Fannie Mae , too. That rarely happens. Most of the time it severely impairs the negotiation process. Significant back bids should be clean with no seller contribution to be seriously considered (that is, if you expect Fannie Mae to agree or give a reasonable counter offer). Also, be sure to use a REALTOR who is familiar with contract for Fannie Mae owned properties. I believe that they definitely earn their commision and are worth every penny if they truly represent your best interest as they should.

All Realtors who learned from this response, please include your TREPAC contribution with your dues before March 15th. Thank you!

Tom
0 votes Thank Flag Link Sat Feb 25, 2012
It depends on how you ask for it and the aggressiveness of your offer. If you are offering a lot less than the list price it becomes less likely they will agree to any contributions.
0 votes Thank Flag Link Sat Feb 25, 2012
Delta,
It is all about how the contract is structured to help you with costs associated with making a purchase. I just closed a Fannie Mae home in which I was able to not only cover the cost of getting a survey but was able to cover all costs to my client. In fact at the close my client got a check back for $1,616.00 which refunded her earnest money deposit ($1000) as well as her first year of insurance ($616). Further we got several repairs paid for by Fannie Mae's side of the transaction. My client got a great home at a great price which starts her off with about $20K of equity to boot!

I'd be happy to help you get a similar deal as well.
Call ~ Text ~ Email Directly ~ I will respond quickly!
Bill
0 votes Thank Flag Link Sat Feb 25, 2012
They will not pay for the survey and there are other cost they may not pay for as well. That list varies from lender to lender somewhat. All the advise given you as to negotiating the deal so they pay some of your closing cost is good advice. Keep in mind, everything you ask for makes your offer or bid less competitive. Having a Realtor represent you to work the best deal possible with the bank cost you nothing. Rodney Harris, Ready Real Estate (512-585-5017. "Home of the Buyer Cash Back Rebate".
0 votes Thank Flag Link Sat Feb 25, 2012
To answer your question again. No they will not provide one. You will have to order one yourself.
I am sure you are looking at foreclosures to get a good deal. They can be. Not knowing what property your looking at or what your planning to do with it I can't tell you if this one is or not. (and you didn't ask) My free advise to you is don't try and save money skipping inspections or any other thing that will inform you more about the property. Most will give you an inspection period. Now is not the time to get cheap only to find out later there are major issues.
On foreclosures that I have helped my clients buy in the past I have negotiated some repairs and closing cost. If they will pay closing cost that just saves you out of pocket cost. These were not auction properties. Good luck to you!
0 votes Thank Flag Link Sat Feb 25, 2012
Unfortunately, they will not pay for or provide a survey. However, if we structure the deal properly, we can get them to pay closing costs to offset the price of the survey and other fees you will encounter. If you are not yet working with a Realtor, contact me and I'd be happy to let you know what I can do to help you make a better deal, save money, and all at NO cost to you. I do not charge for buyer representation. Joe Jarusinsky, Realtor, Keller Williams Realty (512-261-4415)
0 votes Thank Flag Link Sat Feb 25, 2012
Delta,
Steven and Johnie gave great answers. But there is alot more to story. HUD requires the buyer to order and pay for a survey, a new survey.(when financing) There are some money saving possibilities but they are not always available with regards to the survey.
Did you know that you can purchase a HUD foreclosure for as little down as $100? This could be a good or a bad thing. Foreclosures are not always a good deal, in fact the future home ownership costs are never considered or calulated from most agents. Why not? They don't have a proven home buying system to help you the home buyer save tens of thousands of dollars throughout the home buying process. Would it be prudent to avid making costly mistakes, that could result in 5 to 15% more money out of your pocket?
There is a system and a Brokerage that can do exactly this. The Maximum Choice Home Buying System is the only PROVEN PROCESS designed to help leverage the home buyers ability to save thousands and MaxAvenue is the only Brokerage authorized to provide you this solution. If you would like to learn more click the link below.
Great Question
0 votes Thank Flag Link Sat Feb 25, 2012
Ask. It's unlikely, though they may offer a concession. You might also ask your agent to search public records, see if a survey was filed or find the title company who performed the last closing - might have one in a file.

Good luck.
0 votes Thank Flag Link Sat Feb 25, 2012
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2016 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer