Been wanting to buy a home for a while and finally got the opportunity on a Fannie Mae Homepath property. Asking price was $165900 after dropping by $70000 in the past 5 months. Its a foreclosure. Got the preapproval and made the offer for the asking price, plus asked for 3% closing as well as a short list of other requests such as septic, termites, home warranty, etc. All together it amounted to around $7000 we were asking them to pay.
Put the offer in, and within 3 hours our realtor called to say there was another offer and they were asking for our highest best offer. We increased our bid by $10000. The next morning, our realtor called again and stated the listing agent contacted him and said that if we took off one of our requests, we would be much better off. It was a soil thing that is required by where we live which was an $800 cost. We did that and waited.
Here is the mystery which maybe someone can explain. We got they accepted our offer, but they accepted our original $165900, not our higher offer. On top of that they agreed to pay all of our other requests. Why would a seller accept a lower bid rather then the higher offer?
Second question: We signed the offer on our end and now we are just waiting for Fannie Mae to sign the contract so we can move forward. How long dies it take fir Fannie Maw to do this? We want to get things going but hate the wait.
I have purchased 2 4plexes from FNMA/Homepath, most recently in May.
On question 1, it's a bit of a mystery why they accepted the original lower offer, but who cares? Did they make a mistake? Do they think you're going to want to back out of the higher price, and don't want the headaches? Does it matter? Whatever it is, I WOULD NOT ASK!! Leave well enough alone, and take your significant other out for a great dinner to celebrate once you close.
Regarding the timing to have them sign.. some of these asset managers at FNMA have hundreds of listings, and they have not been very quick in my experience. If you're working with an honest agent, their word should be good that it will happen (especially if in writing through email), so don't sweat it too much. Get all your inspectors/contacts, etc lined up, ask your loan officer what additional docs they will need, and everything else to be prepared to move through the process quickly..
I also have a question to piggyback this one. Are there any restrictions to flipping or wholesaling a Fannie Mae homepath home?
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