Deed For Lease Rent Program

Fannie Mae Renting Foreclosed Homes

Folks who are facing foreclosure and have a loan from Fannie Mae now have a new option.  On November 5, 2009 Fannie Mae announced a new program called Deed For Lease.  This program is to rent back the home of those facing foreclosure who do not qualify for a loan modification of their mortgage.  The Deed For Lease program allows residents to stay in their home and rent it back from Fannie Mae at market rates. 

Obtaining A Deed For Lease Instead Of Foreclosure

In the Deed For Lease the homeowner must be facing foreclosure and have a Fannie Mae loan.  The homeowner signs a lease to rent the home and performs a voluntary transfer of property back to Fannie Mae.  The program is generally for those who do not qualify for a mortgage loan modification.

Qualifying for Deed For Lease

To qualify for the Deed For Lease program you must live in the home as your primary residence. and any other leins must be removed from the property.  The property cannot have leins or it cannot be transferred back to Fannie Mae.

Market Rate Rent

The rent under the Deed For Lease program is "market rate" which will be determined by a property management company.  You must demonstrate that you have income sufficient to make the rent no more than 31% of your income.

Deed For Lease Lease Terms

The lease can be up to 12 months with a month to month extension after that.  You can find more information on the Deed For Lease program at www.efanniemae.com