Last week, Fannie Mae announced the national launch of its "First Look" program designed to support neighborhood stabilization and promote home purchases by owner occupants and by public entities. The program applies to the more than 70,000 properties owned by Fannie Mae (its real estate owned (REO) inventory). During the first 15 days a property is listed for sale, only buyers who intend to occupy the home and public entities committed to the community may purchase a Fannie Mae REO property. Fannie will waive the earnest money/deposit requirement for public entities, and lower these requirement for individuals who have qualified to use public funds for the purchase. Buyers get 45 days to close—15 days longer than usual. Fannie Mae does not reduce commissions related to the sale of its REO properties. Investor offers will only be considered after the initial 15 day period.

Fannie Mae News Release