Investors Loan News

IMPORTANT INVESTOR LOAN NEWS…… Internal Use for Realtors Only

FANNIE MAE has just announced that they will make non-owner occupied investor loans to individuals who own up to 10 mortgaged properties. (The limit previously was only 4)

GUIDELINES: 2-10-2009

1.      Limited to 10 properties financed in total, including primary residence.

(Commercial properties, those greater than 4 units, or properties titled to

and financed by an entity (LLC) do not count toward the 10 property rule).

2. Down Payments:

1 to 4 Properties Financed                              5 to 10 Properties Financed

* 85% max LTV 1-2 units                              * 75% max LTV 1 unit

* 75% max LTV 3-4 units                              * 70% max LTV 2-4 units

                                                                        * Minimum 720 fico

3.      Reserves Required:                                      

1 to 4 Properties Financed – must have:

*6 months reserves on the Subject Property and 2 months reserves

  on each other financed 2nd home or investment property.

5 to 10 Properties Financed – must have:

* 2 months reserves if the property is a 2nd home.

* 6 months reserves if the property is an investment property.

AND

* 6 months reserves on each other financed 2nd home or investment property.