A Home Path Mortgage allows a borrower to purchase a Fannie Mae-owned property with a low down payment, flexible mortgage terms, no lender-requested appraisal, no mortgage insurance, and expanded seller contributions. The final sales price is used to underwrite the loan. Mortgage insurance is also not required but for higher loan-to-value loans there may be a higher cost.

Benefits to the Borrower:

  • Low down payment and flexible mortgage terms (fixed-rate, adjustable rate, or interest-only)
  • Down payment (at least 3%) can be funded by the borrower’s own savings; a gift; a grant; or a loan from a nonprofit organization, state or local government or employer
  • No appraisal required
  • No mortgage insurance
  • Available for primary residents, second homes and investment properties

To see what types of homes qualify for home path financing, visit: www.homepath.com