Nick Farinella's Florida Real Estate News

• December 08, 2014

Fannie Mae 97% LTV Option for 1st Time Home Buyers

FANNIE MAE ANNOUNCEMENT

97% LTV OPTION FOR FIRST-TIME HOME BUYERS

AND LIMITED CASH-OUT REFINANCES

In support of ongoing efforts to expand access to credit and support sustainable homeownership, Fannie Maewill offer up to 97% LTV/CLTV/HCLTV financing to help home buyers who would otherwise qualify for a mortgage but may not have the resources for a larger down payment, and to support refinance of existing Fannie Mae mortgage loans. Fannie Mae is providing multiple options to help lenders serve creditworthy borrowers and expand business opportunities. Selling Guide Announcement SEL-2014-15 details the requirements and policy changes.

The 97% LTV ratio updates will be available for loan case files underwritten through Desktop Underwriter® (DU®) Version 9.2, which will be implemented the weekend of Dec. 13, 2014. Review the updated DU Version 9.2 Release Notes for more information.

Additional details and resources are available on the FannieMae.com 97% LTV Options page including a fact sheet, FAQs, and a video overview.