Did You know that Fannie Mae and Freddie Mac differ on their definition of primary residence?
Freddie Mac defines a primary residence as:
- The Borrower occupying the property for the majority of the year.
- The property is in a relatively convenient location to their primary employment.
- It is the address of record for such activities such as federal income tax filing, voter registration, occupational licensing, etc. SUBJECT to Underwriter review
BUT Fannie Mae defines a primary residence as follows:
- If multiple Borrowers ONLY ONE of them needs to occupy the property.
- If the Borrower is considered handicapped and unable to work, then the parent or legal guardian is considered the owner/occupant.
- If the parent is unable to work or handicapped or does not have sufficient income to qualify for a mortgage on their own then the Child is considered the owner/occupant.
As you can see we are always looking for ways to make sure that our borrowers have the proper financing they need. Contact our office to speak to a loan consultant who can give more insight into financing a primary residence.