Condos - Do Your Homework

In today’s real estate market it is imperative for all parties in a real estate transaction to understand which types of properties are easier to obtain mortgage financing. One type of property that has come under increased scrutiny from lenders is condominiums.

Fannie Mae is not only tightening lending standards but they are also taking a harder look at which condominium projects pose a higher risk.

There is a glut of condominiums on the market, most of them vacant. Many condominiums are in foreclosure and plenty of real estate professionals are looking to find deals for prospective buyers. Before taking a listing or showing that buyer a particular condominium, I recommend you look at the links below.

Both Fannie Mae and FHA have a list of approved condominiums they will finance. This does not mean if a particular condominium is not on the list it will not get financing, it just means finding a lender might prove more difficult.

https://www.efanniemae.com/syndicated/documents/dps/condopud/FL.pdf


https://entp.hud.gov/idapp/html/condlook.cfm