We have had experience using HomePath and we will be discussing it from our own experience as well as explaining what’s on their website.
What is HomePath?
HomePath is a program by Fannie Mae. According to their website, the program is designed to sell homes that they've taken back through foreclosure. Once they have the homes in their possession, they own them as REOs (Real-Estate-Owned) after the foreclosure is concluded. The homes are usually sold as-is. These are not homes for people who want builder-quality homes or who have no budget for repairs. The homes are sometimes sold lower than non-REO homes. Buyers may have access to low down payment options and potential closing cost help, up to 3% at closing. You need to be an owner-occupant in order to use this program. The whole point is to support homeownership by giving buyers a shot at the homes before investors. In our experience, it’s less about “rough neighborhoods” and more about homes that need work.
How to Get Started with HomePath?
The best way to get started with HomePath is to go to Fannie Mae's official HomePath site (https://homepath.fanniemae.com/), where all the HomePath listings are published. You can search by city, price, and property type, just like you would on Zillow. They also often show up on the MLS and through portals like Zillow, Realtor.com, and other public websites with a note that they are Fannie Mae or HomePath properties.
How the Offer Process Works?
The offer process is very similar to a regular sale. You write an offer through ShopProp or your respective real estate agent. Fannie Mae reviews offers and will respond with acceptance, counter, or rejection using their online system. It’s important to note many buyers experience delays during this period. The site can say “In review” for a few days. Nothing is real until they send the official contract, and they’re slow. The listing agent won’t see anything until HomePath pushes it out. Once it is accepted, HomePath will send the contract, which has much more paperwork than usual for signatures.
In conclusion, the HomePath process may be worth looking into for finding competitively priced houses if you are intending to occupy the home, have a budget for repairs, and understand that the homes are usually going to be in rougher condition than a typical move-in-ready property.
Robert Luecke Jr. @Robbyluecke
