One year of First Look: Fannie Mae sells 29,000 REOs to owner occupants
A year into its First Look program, Fannie Mae vendors have sold 29,000 REO properties to owner-occupants and 5,000 to public entities under the Neighborhood Stabilization Program. Fannie launched First Look in August 2009 to allow both owner occupants and those using NSP grants to submit offers 15 days ahead of investors. Fannie extended it to 30 days in Nevada. "While investors play an important role in the REO market, homebuyers who intend to occupy a home make an immediate and lasting commitment to the community and therefore merit priority consideration in the REO sales process," said Jay Ryan, vice president for alternative REO dispositions at Fannie Mae. Roughly 70% of the 123,000 Fannie Mae REO sales in 2009 went to owner-occupants. Not all of those were sold through the First Look program. More than 800 public entities using the more than $7 billion in NSP grants have made purchases through First Look. Ryan said these entities are also working to rehabilitate and stabilize neighborhoods. Write to Jon Prior.