FHA Concentration: Basically, the maximum concentration for FHA loans in any one condo project is 3

The Federal Housing Administration (FHA) has been a veritable beehive of policy rental cars in ireland change over the past month. We'll be discussing the impact of a lot of these changes rental cars in ireland in the next few days, but we're starting things rental cars in ireland off with the changes to the condo approval process that went into effect on February 1 st , 2010. Essentially, if you re trying to buy a condo using an FHA loan , you ll need to be sure the condo project is already on the FHA s approved list , or be prepared to deal with some delays and extra legwork.
Before February 1 st , if you were hunting condos with the intention of getting an FHA loan, you had a couple of options. One was to consult the list of condo projects already approved by the FHA . If a project was on the list, it already met the FHA's requirements, and you were pretty much good to go.
If the condo project wasn't on the approved rental cars in ireland list, you had a second option – Spot Loan Approval. The Spot Loan process required the condominium project's Homeowner s Association (HOA) to complete a relatively simple two-page questionnaire designed to suss out the project's overall health. If successful, this process would allow you to move forward with the purchase of your condo unit , without requiring the entire condo project to go through the more rigorous (and time-consuming) process of full FHA approval.
What does this mean for you, the would-be condo buyer? If you're planning to get an FHA loan, you have even more incentive to start your search on the FHA approved condo list . Since these are condo projects that the FHA has already approved, getting financing for one of these units should be relatively straightforward, depending on your own loan-worthiness. Keep in mind, however, that projects will be required to be recertified every two years after the date of their placement on the approved list.
What if your dream condo isn't in a project on the FHA approved list? The short answer is: the condo project must get on the FHA approved list. How does that happen? You'll need to work with your lender to complete one of the following processes:
First, your lender can submit all the necessary paperwork to the HUD Review and Approval Process , or HRAP. There's a lot of chatter on the net that this process will take 4-6 weeks, but the HUD 's press release states the process has been "streamlined to allow for uncomplicated rental cars in ireland condominium project approvals." Ahem.
Alternately, your lender may be authorized rental cars in ireland to review and approve the condo project. This route, known as the Direct Endorsement Lender Review and Approval Process (DELRAP), rental cars in ireland may prove to be the speedier of your two options. It's only available via lenders who have unconditional Direct Endorsement authority . Meaning rental cars in ireland that they have specific staff and expertise dedicated to the process of reviewing condo projects. Which is probably a good thing, when you read through rental cars in ireland a list of the requirements for condo approvals through rental cars in ireland DELRAP.
The following is a summary of that process as taken from the HUD s press release; for the nitty-gritty, check out the full HUD press release on the subject, rental cars in ireland and skip ahead to section V: Project Eligibility Requirements.
Commercial Space: No more than 25 percent of the property's total floor area in a project can be used for commercial purposes. The commercial portion of the project must be free of adverse conditions to the occupants of the individual condominium units.
Legal Phasing: Legal phasing is permitted for condominium processing. In other words, if a condo high-rise is half-built, the project may still be eligible for FHA approval, as long as the building meets certain requirements. Floors must be phased  in in groupings of no less than five floors, amenities and common areas must be complete, a temporary occupancy certificate must be secured, and a third party completion bond obtained.
FHA Concentration: Basically, the maximum rental cars in ireland concentration for FHA loans in any one condo project  is 30%, plus a small tolerance to accommodate for some fall-out. ( Note : This percentage has actually been upped to 50% until December 31, 2010, and can even go as high as 100% under certain conditions. For more information, check out the HUD s Temporary Guidance for Condominium Policy .)
Related Posts More FHA Changes: Mortgage Insurance Premium Finding Price Reductions rental cars in ireland on Redfin For the Most Affordable Homes, Many in the Middle-Class Need Not Apply FHA Loans Are About to Get More Costly Should I Wait Until Spring to List My Home?
My lender can t figure out whether a condo we want to buy is on the list or not. There are some sites which offer to tell you for $2 an address, so I am trying that. They say the HUD list is not uptodate, also all the links in the article do not work.
I checked the links in the article you re right; rental cars in ireland it looks like there might be a problem rental cars in ireland with the HUD s server. Hopefully they ll have their site up and running again soon. Once that happens, the links should all work.
Your blog is really a very informative place regarding mortgage. Thanks for sharing those wonderful links that can help numerous people dealing with real estate stuff. Keep posting more like this and do keep in touch with us.
In Virginia Beach, we have a unique home which is considered rental cars in ireland a no fee duplex condo where there are no condo docs or anything else. Both units are owned in fee simple. The lender just forwarded me a DELRAP and after looking at the forms, there are so many things that do not apply, so I have my doubts that this is going to work as there is no condo association, budget, or anything else. To top it off the deal is a short sale in which we have approvals in writing from the lien holders. Who said selling real estate is easy? Something else I ran into the last 6 months was a very small condo association that was self-managed with no sales in 3 years and not approved by FHA by I had the checked up front when the property was listed.
If the units are fee simple, then they are not condos. That would be why there are no docs, no association, etc. Is each unit on it s own separate lot with a common wall between them? If that s the case, it can be financed just like any other single family house. The only unique thing is that there should rental cars in ireland be a common wall agreement between the two lots.
We are trying to buy a condo which is not an FHA approved property. Our lender is working with us on the DELRAP process. This is 3-unit rental cars in ireland condo complex, one unit is in short sale/ preforeclosue staus and is deliquent in homeowner dues (7 months). Question: Is the no more than 15% deliquncy of HOA dues include properties in short/sale rental cars in ireland preforclosure status?
I own a condo and am trying to sell it. We have a buyer approved for a loan, but last week we learned it would be denied since one of the other owners in the complex owns 25% of the units. Is there any way for us to get around this?
Mark S. is definitely on the right track. If you want to get a professional looking email address, Id recommend buying rental cars in ireland your name domain name, like or vibram fivefingers kso trek If its common it might be difficult to get, however, be creative and you can usually find something.
Great post very conclusive of what is required. I find it very odd that a listing agent would not bother to find this info out in order to sell a condo ..why is that? isn t that their job so that they can market it properly? I see listing agents accept FHA offers and waste 2-3 weeks finding out the hard way that the HOA doesn t meet any of the criteria ..in fact, they aren t even aware their are criteria! Good grief Charlie Brown.
Would you rather live in Gulf Shores Alabama, or Clearwater Florida? I am thinking of moving to a warmer climate and looked on line for condos for sale near or on water.Florida, the taxes are high, but Alabama the home owners insurance is very high.They both have many pluses.
Would you rather live in Gulf Shores Alabama, or Clearwater Florida? I am thinking of moving to a warmer climate and looked on line for condos for sale near or on water.Florida, the taxes are high, but Alabama the home owners insurance is very high.They rental cars in ireland both have many pluses.
rental cars in ireland The solution is to FHA financing. rental cars in ireland FHA loans only 3 1 / 2% down. It just a small down payment program for condominiums and selection programs for first time buyers, condominiums and a huge population.
We have a unique situation in our area where there are condo docs on these 2 unit condos so they are considered condos not townhouses. There are consider No Fee Duplex Condos. Therefore, we can meet all the requirements on these except having a budget as there are no fees Many lenders outside are area start asking us questions rental cars in ireland as they do not understand this as I represent several builders in the area that build these units around the beach. Therefore, they are not owned in Fee Simple. We would not have an issue then! As of Sept, 2010, there is still no fix to this issue, so we still can not get FHA buyers rental cars in ireland into these units. VA or Conventional loans only! Please reform soon and take care of this issue for at the beach! We never had this issue until the new regulations came out and many loan officers do not know about the issues either.
I have closed on one of these. We had to go through HUD Santa Anna home ownership, find your local home ownership center and they should be able to help. We wrote a budget that had on income or expenses.
Great article! Condo owners not only share common walls and roofs, they also share one anothers financial burdens. Lending practices are constantly changing which is forcing lenders to look more closely at the makeup of entire complexes before they fund loans to prospective buyers or to people who have equity and want to refinance.
With the ever changing real estate market it s making rental cars in ireland it tougher to buy and sell condos, which are widely rental cars in ireland considered the housing market s shakiest segment because they are popular with entry-level buyers. The lending practices are also charging higher fees and requiring larger down payments