Are you an investor that is looking to buy a home in the Lake Tahoe area? They come in all shapes, sizes and conditions!

Even if you are beginning to trek that path and looking to become a small investor of a few properties in 2009, then now is a great time to take on the investor dream!

If you are paying cash, fantastic! If you are looking to finance, then perhaps it's your lucky day! There is a new Fannie Mae loan program available for those looking to purchase a Fannie Mae foreclosed property that needs renovation!

It works like this:

Fannie Mae has a great loan program designed just for this situation that is a close cousin to the Fannie Mae HomePath mortgage program but designed just for investors.

It is called the Fannie Mae HomeStyle Renovation Mortgage program.

The HomeStyle Renovation mortgage program allows borrowers to combine the cost of the home with the costs for renovation or remodeling.

At closing, all funds for renovation will be escrowed in an interest-bearing account. After all renovation work is complete, any remaining funds in the escrow account will be used to pay down the principal balance of the mortgage.

Fannie Mae HomeStyle Renovation Mortgage Highlights:

Up to 95% LTV
*Renovation funds escrowed in an interest bearing account
*Soft costs (architectural services, engineering, permit fees, etc.) may be financed
*Loans are underwritten to FNMA guidelines

HomeStyle Renovation Mortgage: More Information

Borrowers can basically do any repairs / renovation to the home that they want as long as the appraisal supports the value, the improvements are common for the area (pools, for example), the repairs can be completed within six months, and the repairs do not exceed 50% of the after improved appraised value.

The only types of repair that I would not recommend under the HomeStyle Renovation mortgage program are water damage, mold, and any structural repairs to the foundation and/or load bearing walls. These types of repairs have a tendency to escalate into much larger projects once the builder does the demo and determines what the actual repairs are needed to fix the damage to the property.

Thinking about Buying or Selling?
Call Alvin's Team Today! 877-651-7810
Or visit our website: www.LivingLakeTahoe.com