Dated: 07/27/2015

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Fannie Mae has announced some major game changers that began in July 2015 for new home loans.  There were a total of 13 policy changes implemented this month, but 3 of them will completely change the face of lending for many home buyers.  

  • Homeowners in a position to make their current primary residence an investment or rental property and buy a new home can now do so without being required to have a six month reserve for both properties.  Before now any homeowner that wanted to keep their current home as a rental rather than selling to purchase their new home had to provide proof of at least 6 month's reserve to support BOTH homes, the new home and the rental.  This is no longer a requirement. 

  • Under the new Fannie Mae guidelines lenders are no longer required to provide the vast paper trail of the past when stocks, bonds, and mutual funds are being used as a down payment as long as the investment account holds the down-payment amount plus 20%.  Additionally, 100% of the account balance can now be used as an asset on the loan application in comparison the the old 70% only being valid.

  • Applicants using bonus and commission income may not have to take a hit on their income qualifications anymore for un-reimbursed business expenses.  If the bonus and commission pay being considered accounts for 25% or less of the applicant's total income, you no longer have to reduce your income by the un-reimbursed expenses accrued. 

Fannie Mae has made qualifying for a home loan easier, with less paperwork and documentation required in many aspects this month.  If you have been thinking about upgrading your home, or downsizing and keeping your current home for rental income you may be in a better position that you thought possible with these new policy changes.  Always contact a mortgage lender with your specific situation as each is truly a case-by-case basis regarding qualification.  

Image titleTatyana Sturm and The Storck Team have been honored to serve the AuroraCentennial, and Parker real estate communities as the top 1% of Denver Realtors and recipient of the 5280 5-Star Award since 2010.  We provide professional photography, video, and staging to our sellers.  Our sellers make an average of $5,000 more on their homes and go under contract in an average of 5 days.  We price it right the first time!  Call or text Tatyana Sturm with The Storck Team today for your FREE home valuation at (720) 350-5909.

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Tatyana Sturm

Tatyana truly understands the dynamics of selling homes in the Denver Metro real estate market and is an expert at educating her clients so they can make the best and informed decisions for their need....

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