Freddie
Mac's mission is "to stabilize the nation's residential mortgage markets
and expand opportunities for home ownership and affordable rental
housing." For buyers interested in Freddie Mac properties, this
information may seem intensive. It is in your best interest to find an
experienced agent who can guide you through this process step-by-step. Click here to learn
more about Westcott Properties' knowledgeable agents.
Our mission at Westcott Properties is to assist both agents and buyers on how to submit an offer for a Freddie Mac Property. Please read through this post carefully prior to submitting an offer.
**If
you are an investor or an agent representing an investor: One
important thing to note is that Freddie Mac has implemented a "first
look period" for all of their listings. What this means is that the
property has to be on the market for a full 15 days before an investor's
offer can be considered. The investor’s offer will not become effective until
the 16th day. This "first look period" is in place so that owner
occupants have an advantage in making an offer on Freddie Mac properties. It is
Freddie Mac’s goal to promote the stabilization of neighborhoods. **
**If you are an owner occupant or an agent representing an owner occupant: Freddie Mac will not consider any offers, including those from owner occupants, for the first 2 days on market**
**If
you are an owner occupant, an investor, or an agent representing either or:
Freddie Mac offers a unique opportunity to buyers- they will provide
buyers up to a $500 credit to go towards a home warranty program of the
buyers choice. Keep in mind, an agent MUST specifically state in
buyers initial offer that the buyer wants this credit in order for
Freddie Mac to consider it**
**All offers on Freddie Mac properties have to be submitted by the buyer’s agent to the listing brokerage**
All Freddie Mac offers must include the following information:
·
Signed standard offer form (Note: offer
does not need to be on a purchase and sales agreement)
·
Proof of funds for cash transactions (Ex:
bank statement or letter from a bank representative dated within the past 30
days, showing that the buyer has adequate funds to cover the purchase price)
·
Financing pre-qualification letter (Note:
which must show the buyers name, finance type, and loan amount)
**Please
Note: Freddie Mac will NOT allow gift letters from third parties
as proof of funds. Funds can only come directly from the buyer**
The
following questions MUST be answered (Note: these are required questions that
the sellers agent must answer for each and every offer submitted to Freddie
Mac)
·
Is the buyer an investor or owner occupant?
·
Is the buyer a first time home buyer?
·
Is the buyer a licensed real estate agent?
·
Is the buyer a Freddie Mac/ Home Steps
employee?
·
Is the buyer a Freddie Mac supplier or
relative?
·
Is the buyer a previous mortgagor or relative?
On a
case by case basis for an individual property on an MLS
listing, Freddie Mac will have their agent:
·
Attach property lead disclosure
·
Attach inspection reports
**Please
Note: If the above documents need to be attached then those
documents MUST be signed by the buyer and included with the offer**
If you have any other questions, click here to contact Westcott Properties
