Fannie Mae announced Thursday that homebuyers can now receive up to 3.5 percent in closing cost assistance. The help is available within the FirstLook period of Fannie Mae’s HomePath properties in 27 states.
The incentive will offer qualified buyers up to 3.5 percent of the final sales price to pay closing costs.
The FirstLook period has been extended from 15 to 20 days, and gives private homeowners the ability to buy a home without competition from investors.
HomePath is the branding used by Fannie Mae-owned properties, and offers low down payment mortgages on properties that are real estate owned (REO).
"This incentive will provide more opportunities for families to find a property to call home," said Jay Ryan, Vice President of REO Sales. "Our goal is to sell as many HomePath properties as possible to owner-occupants who will stabilize neighborhoods and help the housing recovery."
To be eligible for the recently increased incentive, initial offers must be submitted between February 14, 2014 and March 31, 2014, and close on or before May 31, 2014.
HomePath properties include a wide variety of homes, including single-family houses, condominiums, and town houses.