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Not sure what you mean "buying one over the next week or so".. Are you in contract with one of their property or are you looking at putting an offer in.
I have purchased 3 of Fannie's property in the past, always as an investment though. My experience is that for homes that are still in a condition that doesn't require significant work, they are overpriced. Just know that they acquired these properties and don't usually do a lot to it.
I bought one as a rental. I'd buy from them again, but I'd nail them on the price. Their purchase contract was really one-sided, we had to use an out-of-state title insurer & they nicked me for some junk fees - I think they charged something like $150 to change the locks - their contractor put a closet doorknob on the garage & a $6 lock on the main door.. fwiw, their disclosure docs were pretty awful as well - there were issues with the house that would have prevented financing through any lender (other than homepath) & they would be obvious to an experienced buyer, but an inexperienced buyer could have wasted time & money & not been able to close.
In short, they're pretty awful & most of what you've read is prolly true. Rip at least a few thousand off your offer to make up for added hassles & junk fees & go in with low expectations.
We bought our home from Fannie. Had been completely gone through, new AC, furnace, hot water heater, remodeled baths, paid full price last year. Based on prices now, we have increased our equity almost 50% over price paid.
Timing is everything, so be aware of competing prices. Don't over-pay.
We had a good experience buying our home. It was very clean and in great working order. We had a fast closing and got it for a good price. We could sell easily now for 25% more.
Best of luck!
Your experience sounds a lot smoother than mine. I'm currently under contract on a Fannie Mae property since last Friday. We are still waiting on Fannie to sign the contract. Took us about 5 weeks 4 offers and 4 highest and best rounds to get to this point. It's been very stressful. The property needs quite a bit of work but we are excited about it and hopeful that all will go well from here. We have our inspection coming up on Friday. Best of luck and i will be following your experience here.
I purchased an investment property last year through homepath. At that time they still had a mortgage program allowing only 10% down payment without PMI. For owner occupancy, I think it was 5% down payment and no PMI. No appraisal was necessary. My first offer was rejected without any counter. I submitted another offer that was a little higher and it was accepted. Contract had an inspection and finance contingency and Fannie Mae executed about days after I signed. We did have an inspection done about one week after the contract was signed and it revealed a few things but nothing major we didn't already know about. The property was sold as-is and we put in money to fix it up. We used an out-of-state mortgage lender that offered the homepath mortgage and the loan closed in 30 days. Adding in the money we put in to fix the property, the value raised about 10% in one year.
In all I had a good experience. But it does seem that the homepath homes in my area is initially overpriced. The one I purchased had a price reduction after sitting on the market for 2-3 months. If the property doesn't need much work then the price is probably market. Otherwise I would wait for the price to be reduced.
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