Investor · Colorado Springs, CO · Member since 2014 · 40 posts · 2 votes
Hey all ,
I just listened to podcast 64, and heard about homepath mortgages for only 10% down. Can anyone with experience with these (particularly in Colorado) elaborate on how to apply for these? Can most mortgage brokers do these? Is there a major draw back, like high PMI? This could offer a great opportunity for a buy and hold in the Colorado Springs area, so I'm curious how to get started.
Lender · Denver, CO · Member since 2009 · 1k+ posts · 597 votes
11y
@Daniel Elbe I haven't personally used this product, but have done a fair amount of research in the past. I believe you need to have 4 or less mortgages to use this product, I thought it was 15% for investors. It is my understanding that it needs to be a Fannie owned property, no appraisal and can borrow rehab money in some cases.
With only 10% down, a 1/4 or 1/2 point higher interest rate far out weighs the alternative of 20-25% down.
You have to find a good lender that can handle this transaction about 90% of mortgage lenders wont understand the product - be sure to ask how many they have closed.
Real Estate Agent · Oakland, CA · Member since 2015 · 9 posts · 0 votes
10y
Hi all. In the podcast Josh Sterling said that he used a bank in California to get a home path loan on an investment property. Can you please tell me which bank that is. Thank you.