HomePath LTV 70%?

[Leigh Ann Smith]

I have been reading about the HomePath investor loans and went to their website today to learn more.  Under "more information" for investors, I found this:

"Benefits to you, the investor:

• Up to 20 financed 1- to 4-unit properties
• Individual and LLC borrowers eligible
• Loan to value max 70%
• No lender-requested appraisal
• Flexible mortgage terms (fixed-rate, adjustable rate)"

I would presume that the purchase price would be considered the "value"; is that correct? If so, then 10% down would give you a 90% LTV. Have HomePath's terms for investors changed, or am I misunderstanding how the 10% down relates to the 70% LTV?

On another thread, I read this link which was very informative, but does not address this financing issue:

http://www.lvrealestatehelp.com/blog/force-fannie-mae-to-behave-responsibly-or-shut-them-down