If your buyer is interested in securing financing for their condominium, it’s important to know that condos have their own process of being approved for financing. Check the lists below to see if your buyer’s condo is approved for financing. Note that the lists are categorized based on the type of financing used for the condo.
If you want a FHA loan, then click on the below link to see if the condo is eligible for FHA financing:
IF THE CONDO IS NOT ON A LIST AND YOU WANT FINANCING
The condo might already be approved for financing. Email me the name of the condo and I can let you know if it is approved before we do the below steps.
If the condo is not on one of the above approved lists, then there is an additional process to go through to see if you can get financing on the condo.
1) Email me a copy of the condo questionnaire
2) Email me a copy of the master insurance policy
I will send the questionnaire and insurance to the underwriter and I will let you know if the condo is approved for financing.
20% down for purchases with a 680 credit score up to $1,250,000 loan amount
40% down if the unit is 500 to 749 square feet or if the unit doesn’t have a full kitchen (full size refrigerator, stove/oven, and sink)
INELIGIBLE CONDOS FOR ANY TYPE OF FINANCING
The condo is managed by a national hotel chain
The condo is required to participate in a rental pool
The condo contains timeshare or fractional units
The condo is in active litigation
The condo has less than 80% SOLD and 40% CLOSED
The condo is less than 500 square feet
The developer has control of the homeowner’s association