Buying a new home in today’s
market becomes more attainable with
our NEW Interest Abatement or IA
loan. With this program the seller
can contribute money towards your
new mortgage payment making it easier
on your budget for the first few
months after the purchase. There
are no gimmicks or tricks; this loan
is backed fully by Fannie Mae. The
loan works by using the seller contributions
towards the interest portion of your
new mortgage payment. You still are
required to make the principle portion
of the payment each month but, the
sellers’ contribution is placed
in a separate non-interest bearing “Replacement
Reserve Account” or RRA, that
will be used to subsidize your monthly
payment for up to 6 months. The amount
of time that the RRA exists is dependent
upon the amount of money that the
seller has given to you at closing
to be put into the account. The IA
loan allows you to draw on the monies
for the determined period of time
rather than using all of the funds
towards closing costs as is the case
with other loans.
|
