Condo Financing in Jeopardy!

Kenneth R. Harney, of the Washington Post, discussed a very real and progressing danger in the Real Estate market across the country. In November of 2009, amidst a difficult and declining Real Estate market, the Federal government put tighter restrictions on condo project FHA financing...well the Fed's are coming again and this time they are looking to place even more stringent criteria for condos to qualify for FHA financing.

"Tens of thousands of condominium owners around the country may not know it, but their ability to sell or refinance could be jeopardized by a rolling series of federal government deadlines." Unfortunately when the market was good, FHA had approved thousands of projects with inadequate information regarding home owner association budget's, legal documents, insurance coverage, renter to owner ratios, delinquencies on condo fee payments, the amount of commercial space, among other variables.

In some markets, FHA financing accounted for 75% or more of first time home buyer purchases. And with less liquidity in every one's finances during this tough economic time, FHA will continue to be a very popular option for people in the market to buy.

If you are interested in checking FHA approval on a certain property, check out https://entp.hud.gov/idapp/html/condolook.cfm

And of course, if you are interested in getting more information on your condo or a condo you are interested in purchasing, please do not hesitate to let me know. I am happy to help any way that I can.





http://www2.timesdispatch.com/business/2010/dec/11/TDBIZ02-the-nations-housing-missed-deadline-might--ar-708685/