subject: A Buyers Guide On Fnma Foreclosures [print this page] FNMA foreclosures refer to those that are owned by Federal National Mortgage Association (FNMA), also popularly known as Fannie Mae. In general, Fannie Maes objective is to provide affordable housing to low-income families by securing their mortgages. However, when borrowers are unable to continue their mortgage payments and are subsequently considered to be in default, the recourse is to start the foreclosure process on the property and sell it to recover its losses.Because of the wide variety of Fannie Mae foreclosures that are being sold on the market, it is understandable why many people opt to look at these properties. However, there are things that you should be aware of when considering buying this type of foreclosures.Search HomePathHomePath is the online website where you can find and search for Fannie Mae foreclosed homes. The site lists in detail all the information that you need to know about the property, photographs, its neighborhood, market price, schools, businesses and other data that can help you choose the right property for you.The site is maintained by Fannie Mae itself and there is a personalized search tool that is available to you if you want to get exclusive information on a foreclosed property that is about to be listed near or in the area of your preference. When you have found a property that you might be interested in, the site will provide you a link to the contact details of an agent with whom you can schedule a visit or property inspection.Prepare Your FinancesBuying a house is a huge decision. When looking for FNMA foreclosures, it is best if you already have a plan on how you are going to finance your home purchase. Fannie Mae encourages homeowners to work with housing counselors in order for them to be able to assess their financial capacity to purchase a specific foreclosure.If you need any financial help, there are many local, national and non-profit organizations that can provide assistance to you in this aspect. A housing counselor can be very helpful in locating available financial programs that match your needs and financial situation. To find a professional, you may search the HUD site for a list of qualified housing counselors.But assessing and evaluating your financial situation is only half the task. The next step is to how to get yourself preapproved. Getting a preapproval means you have been qualified to take out a loan for a specific price range, depending on your financial data. Fannie Mae takes serious consideration of a preapproval letter as this could signify that you are a serious and determined buyer.Submit A Written OfferA written offer is crucial when buying FNMA foreclosures. An incomplete offer will not be submitted for review by Fannie Mae. Your offer must include a complete standard or local state contract, a Fannie Mae real estate purchase addendum, earnest money, and proof of funds such as a cash offer or a preapproval letter. A complete written offer will show that you are strongly determined to pursue the sale and purchase the subject property.
