More Condos to Be Approved for 3.5% Down FHA Home Loans October 15

Condominiums are often the most affordable option for first-time home buyers, small families, and those in urban areas. Buyers looking to pick up a good deal with a low down payment will have more choices in a couple months.  #fha #condo

Over recent years, it has not usually been practical to do an FHA backed mortgage for most condos because it would often fail. That situation appears to be changing very soon. The California Association of Realtors has just announced that FHA will make it easier to purchase condos with FHA financing beginning October 15.

NAR: New Condo Rules Will Open More Doors for Buyers

The association says changes to FHA financing qualifications will bring more entry-level homes to the market, helping to meet buyer demand. The relaxation of some rules by HUD is expected to help revive the condo market.  NAR says the new condo rules, which will help more would-be buyers access affordable housing, satisfy many of the changes the association has backed for more than a decade.

To qualify, the condominium building must have at least 50% owner-occupancy, and a maximum of 35% commercial space. HUD may approve an owner-occupancy level as low as 35% for older properties with less than 10% of units in arrears.

580 credit score is all it takes to qualify for FHA financing. Buyers will likely get a better rate with a Conventional loan if their credit score is above 720. An FHA loan is more flexible to obtain, but no matter what, you will have to pay mortgage insurance. A Conventional loan requires a higher credit score and more money down, but does not have as many provisions. Los Angeles County FHA loan limit is $726,525.

On the HUD site, we only see two approved condos in all of Los Angeles County:  1015 ARCADIA AVE, ARCADIA, CA 91007 and 129 N HILLCREST BLVD, INGLEWOOD, CA 90301

On fhaloans.guide, we see many approved condos buildings:

Bunker Hill Tower 800 W 1st St – Approved via HRAP HUD Review and Appraisal Process

On the MLS, we see these recent FHA approved condo buildings:

525 N SYCAMORE AVE
8650 BELFORD AVE
8710 BELFORD AVE
436 S VIRGIL AVE
2884 SAWTELLE BL
4125 INGLEWOOD

Downtown has seen very few recent successful FHA/VA condo transactions, but that should change, and the tiny list of FHA approved condos should grow substantially after October.   |   VIDEO

Here is a HUD federal government website with more help to identify FHA-VA approved condominiums:
https://entp.hud.gov/idapp/html/condlook.cfm

In addition to FHA approved buildings, buyers can today find a few HUD repos and FNMA foreclosures in awesome buildings like The Mercury at 3810 Wilshire Bl.

Buyers should educate themselves a bit before choosing a lender. Regarding the condo situation over the last 20 years in Los Angeles, local real estate agents say that the truth is certain: Many lenders don’t like wasting their time with people who must use FHA. Buyers really need to use one of the lenders that goes above and beyond to help buyers. When they say they can help with FHA, buyers would be wise to ask questions to verify that the lender has successfully completed FHA loans recently.

Get a free list of FHA / VA approved condos for sale. Fill out the online form:

LOFT & CONDO LISTINGS DOWNTOWN LA [MAP]

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Copyright © This free information provided courtesy L.A. Loft Blog and LAcondoInfo.com with information provided by Corey Chambers, Realty Source Inc, BRE#01889449 We are not associated with the homeowner’s association or developer. For more information, contact (213) 880-9910 or visit LAcondoInfo.com  Licensed in California. All information provided is deemed reliable but is not guaranteed and should be independently verified. Properties subject to prior sale or rental. This is not a solicitation if buyer or seller is already under contract with another broker.

 

 

7 Ways to Move Forward in a Sideways Market

Bad news for real estate?  Take advantage of any economy.

From California to Colorado, real estate professionals are agreeing on one thing:  While some real estate markets are still strongly favoring sellers, more and more agents say that it’s slowly beginning to cool — potentially a good thing for both buyers and sellers. #dtla #lofts #fha/va

As some home prices begin to slide, the L.A. Loft Blog presents 7 tips to help buyers and sellers to accomplish success in today’s changing real estate market.

  1. Mills Act – Home buyers love beautiful historic buildings with big savings on property taxes.
  2. New Lofts Interest List – Gleaming new homes can present a really great deal.
  3. Find out what homes down the street sold for – Home sellers want to know the real selling prices of lofts, condos or houses nearby.
  4. FHA/VA – No down payment – makes it easier to buy a home
  5. Litigation – More than 25% of Downtown loft listing involve a building with current or recent lawsuits.  Find out what’s really going on.
  6. Pocket Listings – Unlisted great deals that are not on the internet
  7. L.A. Loft and Condo Information Request – How can we help you?  Ask any question, and the L.A. Loft Blog will help you find an answer FREE.

Buyers, sellers both can benefit as real estate market starts to balance

Want to buy a home? You might want to wait

Get free information on FHA and VA zero down and low down L.A. loft loans. Fill out the online form:

LOFT & CONDO LISTINGS DOWNTOWN LA [MAP]

  Lofts For Sale     Map Homes For Sale Los Angeles

SEARCH LOFTS FOR SALE Affordable | PopularLuxury
Browse by   Building   |   Neighborhood   |   Size   |   Bedrooms   |   Pets   |   Parking

 

Eastern Columbia at night vintage photo
Eastern Columbia at night stands out in this vintage photo

Copyright © This free information provided courtesy L.A. Loft Blog and LAcondoInfo.com with information provided by Corey Chambers, Realty Source Inc, BRE#01889449 We are not associated with the homeowner’s association or developer. For more information, contact (213) 880-9910 or visit LAcondoInfo.com  Licensed in California. All information provided is deemed reliable but is not guaranteed and should be independently verified. Properties subject to prior sale or rental. This is not a solicitation if buyer or seller is already under contract with another broker.