SHERMAN OAKS, Calif., June 15, 2011 /PRNewswire/ -- Prospect Mortgage, one of a select number of lenders authorized to offer Fannie Mae HomePath Financing, will begin to offer the HomePath Renovation Mortgage. The HomePath Renovation Mortgage allows homebuyers to purchase a Fannie Mae HomePath property and include up to $35,000 for non-structural renovations in the loan.
Prospect Mortgage, the third largest FHA 203K renovation lender in the nation, and a top HomePath lender, has seen a sharp rise in the demand for renovation loans as the foreclosure environment continues. Prospect increased its renovation loan market share by 81 percent from 2009 to 2010. Prospect anticipates renovation lending to continue to be an important loan product in 2011.
"The HomePath Renovation Mortgage can be used on any eligible Fannie Mae HomePath property," said Prospect Senior Vice President Steve Somerman. "Buyers can make repairs to upgrade kitchens or baths, fix a leaky roof or replace worn carpeting, for example. This is an affordable alternative for many buyers who would otherwise not consider purchasing a Fannie Mae HomePath property because of the condition that these properties are often in," said Mr. Somerman.
The HomePath Mortgage offers a low-interest-rate loan with no mortgage insurance requirements. The HomePath Renovation Mortgage requires an appraisal that is used to determine the property's market value after improvements are made. A buyer purchasing a HomePath property as the primary residence is only required to put down 3 percent of the purchase price as down payment. Investors can put as little as 15 percent down when purchasing a non-owner-occupied property, compared with the 20 percent or more on a conventional loan. The loan can be used for any single-family primary residence and for one- to four-unit owner-occupied and investment property purchases.
"We have an experienced renovation management team in place, training and certification for Loan Officers originating renovation loans, and a Rapid Track Team that can go from application to closing faster than most other lenders," said Prospect's National Renovation Manager John Adams. "Working with an experienced renovation lender is what you need to make the loan process go smoothly and close on time."
HomePath is a registered trademark of Fannie Mae.
To search for Fannie Mae properties, visit www.HomePath.com.
For more information about the HomePath Renovation Mortgage, call John Adams at (302) 266-0272.
For more information about Prospect Mortgage, visit www.myprospectmortgage.com
About Prospect Mortgage
Prospect Mortgage is one of the largest independent residential retail mortgage lenders in the United States. It is backed by Sterling Partners, a private equity fund group with over $4 billion of capital under management. Headquartered in Sherman Oaks, CA, Prospect Mortgage is a leading lender offering a full range of quality home loans, including FHA & VA conventional, jumbo and super jumbo, renovation loans and more.
SOURCE Prospect Mortgage