Fannie Mae’s latest offering
This program basically allows the borrower to lease back the property from the lender- your signing a lease to the property. You must qualify. You become a tenant rather than an owner, but you get to keep your house for the time being.
This program is targeted for those that do not qualify or have not been able to obtain a modification or other solution to the problem. What happens is borrower transfers property to lender by completing a “deed in lieu of foreclosure” document, and then lease back the property at the current market rental rate.
- Borrower must live in the home as primary residence.
- Must be released from any subordinate liens on the property
- Current rental rate must be less than 31% of gross income. (Must show proof)
- Leases may be up to 12 months, possibly a term renewal after 12m or month-to-month extension.
This is a great program for those struggling to make payments. Now, this is easier said than done. As you can expect, it requires a lot of paperwork and patients.
For professional advice on all aspects of buying or selling Real Estate, please contact me Richard Recuset at: 786-287-9272 -email: Richard@teamDoral.com