What if you could make a cash offer?
Now you can. Fairway Independent Mortgage Corporation announced a Cash Guarantee™ for buyers this week. This combined with our Fairway Advantage® Pre-Approval, we send you to the negotiation table equipped like a cash buyer.
Block out the noise, get your documentation together and let’s get you pre-approved. Our team is seeing buyers win offers with the combination of Fairway Advantage® Pre-Approval + Cash Guarantee™
Fairway Cash Guarantee Highlights
- Seller will receive a cash guarantee
- Buyer can compete with cash offers
- Borrower does not have any additional fees to use this program
- If the guarantee is triggered, Fairway will purchase the home from the seller or pay them $10,000, seller makes the choice, and the contract will be terminated. That’s how committed we are to finding you a home!
Additional Requirements/Details
- Borrower must have a Fairway Advantage® Pre-Approval
- Borrower must be financing with an FHA, VA or Conventional loan
- Borrower must be purchasing a single-family residence
- Purchase price cannot exceed $1M
Note: If the seller opts to have Fairway purchase their home, Fairway will pay the appraised value or the contract price, whichever is lower.
Fairway Advantage® Pre-Approval is a conditional approval from a Fairway underwriter available to all buyers even before they start home shopping.
Home price and interest rate increases are stealing the vast majority of headlines, but rents are simultaneously breaking ceilings strengthening the argument to push the go button on owning a home.
Nationwide single-family rent prices were up 13.1% year over year in February according to a CoreLogic report. The argument in favor of ownership is simple. Housing parallels that trend ranging from 13.5% to 19% annual price growth across major U.S. markets. If you’re sidelined waiting for the market to slow, there is no sign of that anytime soon. Let’s create some equity and wealth with those monthly payments.
FAQ
Is there an additional fee to use the Cash Guarantee Program?
No additional costs will be incurred by the buyer or seller to use this program.
How do I qualify for this offer?
You must be pre-approved through Fairway with a Fairway Advantage Pre-Approval for an FHA, VA or conventional loan and complete the addendum for the Cash Guarantee prior to going under contract on a property. The Cash Guarantee can only be used for the purchase of primary residence single family home up to a purchase price of $1M.
What events may cause the borrower to not qualify for financing warranting the use of the Cash Guarantee?
- Borrower loses their job or switches jobs after qualifying for the program but before closing
- Borrower makes a substantial purchase (such as a car, boat, or second property) after qualifying for the program but before closing.
- Borrower dies after qualifying for the program but before closing
Will the borrower lose their earnest money if they do not qualify for financing by the closing date and as a result the Cash Guarantee contract is triggered?
It depends on what buyer and seller have agreed to in the real estate sales contract. Fairway is not involved in anyway with earnest money agreements.
Does the Cash Guarantee contract cover reasons other than a financing issue such as borrower changing their mind, post-inspection repair disputes, etc.?
No. The guarantee triggers only if the borrower is unable to qualify for financing after the home is under contract.
Does the Cash Guarantee cover appraisal gaps?
No, Fairway will not buy a property for more than appraised value. The backup contract stipulates Fairway will pay the seller the appraised value of the home or the agreed upon purchase amount, whichever is less.
* Fairway Advantage pre-approval is based on a full review of the borrower’s creditworthiness and is contingent upon there being no material changes in the borrower’s financial condition or creditworthiness at the time of final loan approval. Final loan approval is subject to the following conditions: (1) borrower has identified a suitable property, and a valid appraisal supports the proposed loan amount; (2) a valid title insurance binder has been issued; and (3) borrower selects a mortgage program and locks in an interest rate that will support the pre-approved monthly payment amount. Loan must close before the expiration date provided in the pre-approval. Offer not available on USDA, bond, or DPA programs. Sale of home proceeds contingency not allowed. Gifts not deposited are not allowed. Please note that submitting verifying documentation is not a requirement to receive an estimate of closing costs associated with a mortgage loan.
This is not an offer to enter into an agreement. Not all customers will qualify. Information, rates and programs are subject to change without notice. All products are subject to credit and property approval. Other restrictions and limitations may apply. Equal Housing Opportunity.
by Steve Landis for The Landis Group
