Hey everyone, I am new to BP and REI and I am still in the process of filling out my profile (88%). I didn't intend to start asking questions until that was done and introduced myself properly, but I ran into something today I thought someone could help me out with quick.
I am very interested in a property that I have been out to take a look at, but it was on Sunday and an agent wasn't available to let me in. I've been trying to get a hold of an agent to show the place since then (two days ago). I spoke with an agent today, but he told me it wasn't available to investors for some reason. I think he said it was a Freddie Mac regulation of some kind. I told him I was coming in with all cash, but he still told me it had to be my primary residence and I couldn't resell it for a year. I was a bit caught off guard at that point, but he didn't have any ideas for me on how to get around that. I wanted to check if the agent was crazy or if this is a common thing that I will be encountering as I continue my search for deals. What is this all about? Is my money not green enough?
Thanks a bunch for your help! I'm sure this is an easy one for all you gurus out there.
Did he say it was permanently off limits or just right now? Freddie Mac and Fannie Mae have something called a "first look" period where the houses are only available to people planning on buying the home for their primary residence. If you look on their website (homesteps.com or homepath.com) and find the property, it will tell you how many days there are left on the first look period.
I haven't personally done this, but I've read about people making offers the day before the restriction is lifted and having them accepted.
He didn't say. I will ask him about that tomorrow because I'm really interested in this property. I have definitely heard of "homepath" properties and come across that all the time where they will put it right in the listing something like "First 7 days - homeowner only, days 7-14 - some other restriction, 30 days - will entertain all offers" etc. I would be surprised if that is the case for this one because it has been on the market for over 2 months. Thanks for the prompt reply and the tip. I will definitely check out those websites. I didn't know you could do that!
That's the case, it's not required to say that in the listing!
Just wanted to add a quick reply to this thread. I spoke with a different agent (from another agency) and he looked into it for me. It was indeed a Fannie Mae First Look property, as Tom McLamore above suspected, only the information the first agent was feeding me was already 2 months old. The restriction had been lifted many weeks before I made my inquiry! I waited for the next scheduled price reduction from the bank, put in my offer the same day, they countered, and I accepted. Closed August 6th. I do most of the repairs myself so I'm still working on it.
I hope you made the offer through the other agent for helping you out.
It goes to show working with the right brokers/agents is critical to accomplishing your goals and getting the right information. The inexperienced damage the buyers by not knowing what is fact and when they are just winging it telling them things that are not up to date or not true.
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