Ground Rent Offer

Product Features

The initial Ground Offer by Cedar product functions to reduce borrower debt only.

This means that the buyer is limited to using proceeds from Cedar's acquisition of the land towards reducing their mortgaged loan amount which will in turn reduce their DTI.

Product Availability & Restrictions

Markets

• Available in all US States except Maryland
• Not available in Washington, DC
• Not available on tribal lands

Processing Requirements

• Earnest Money Deposits must be refundable and are a minimum of $1500
• Escrow must be used, can not be waived
• A land survey is required
• Inspection is required when the property is not on city water and/or sewer, or otherwise utilizes a septic and/or well for necessary operations upon the property

Loan Program Sale Restrictions

• Fannie Mae & Freddie Mac conforming only
• No FHA, VA, or USDA loans

Property & Land Restrictions

• Single Family Residences only
• No Coops, condos, or apartments
• Not available on undeveloped land
• No Homes required a tear down
• No Manufactured Homes

Coming Soon

Starting in 2024 Ground Offer by Cedar buyers will be able to use Cedar to reduce upfront costs in addition to reducing mortgage debt. By election of the buyer, monies from the land sale will be able to be applied as traceable funds toward down payment and closing costs.

We will additionally lift restrictions on HOAs, attached houses, and will become available with Freddie Mac.

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