Auburn University
Tell the lender who will borrow, hold title, actually live in the Auburn-area home and pay rent, including any plan to rent rooms or change use after graduation. Fannie Mae distinguishes principal residences, second homes and investment properties; for a principal residence with multiple borrowers, its page generally requires one borrower to occupy and take title, subject to guarantor or co-signer rules. A student's residence alone does not establish which category fits a parent's loan. Have the lender apply the complete current program rules to the proposed ownership and occupancy arrangement before relying on a rate, down payment or approval.
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