FNMAE/FREDDYMAC Do These Go To HUD?

Comments(4)

• 
  Money4RE25th August, 2005

  No. They are listed with Real Estate agents in the MLS and they also have websites.
  
  Here is a link to search for Fannie Mae REO properties:
  
  http://www.mortgagecontent.net/reoSearchApplication/fanniemae/reoSearch.jsp
  
  Here is a link to the Freddie Mac REO site:
  
  http://www.homesteps.com/index.html

• 
  ceinvests25th August, 2005

  So, how similar is the process for purchasing these properties compared to the HUD and/or VA process? [ Edited by ceinvests on Date 08/25/2005 ]

• 
  allhandl3rd August, 2005

  Ill check them out. The hiccup is these lenders are pulling the credit reports and seeing 10 on there and saying no business (at least that is what i am being told).
  
  I did hear a broker say the same thing on loan 5 however now Im getting shot down from multi directions. [ Edited by allhandl on Date 08/03/2005 ]

• 
  HardMoneyLoans25th August, 2005

  Graeme,
  <br />
  <br />I have purchased a CFD in the past. I still hold it and the borrower pays like clockwork.
  <br />
  <br />Focusing on the info you provided.
  <br />
  <br />Three things jump out. You did not mention the equity or provide the details to calculate the equity that will be in the deal. Hence the degree of risk is hard to estimate.
  <br />
  <br />Second, why zero down payment? Sounds like the buyer has no skin in the game.
  <br />
  <br />7.5% is a low rate for private paper when zero down. Assume that a buyer of the CFD will want a decent yield so they will be discounting to get the yield up.
  <br />
  <br />Third is the balloon. While that has some advantages it also means the CFD could be in default in the sort term. Is there any reason to believe that the buyer can refinance in that time frame? Even if there is a story that makes sense many investors will discount further to adjust for the default risk in 24 months.
  <br />
  <br />Taking a step back. Why do you want to sell the CFD? What if you could restructure the deal so they can get more conventional financing to cash you out (at least mostly cash you out)? The logic is you will likely be discounting the CFD quiet a bit so other deal structures could net you the same cash.
  <br />
  
  _________________
  John Corey[ Edited by JohnLocke on Date 08/25/2005 ]