FHA Loan Guidelines For Condos

by Greg from Orange County, CA USA

Question about FHA loan guidelines for condos: Hi Kate, We're looking at a condo community, but have suddenly been told that we cannot use an FHA loan to buy properties in this community.

**Super Kate Tip: Know your credit score!
Free Credit Score - See yours at CreditReport.com!**

Is there any way to know why this is? The community is about 10 years old and in very good shape.

About FHA Loan Guidelines For Condos

Dear Greg, Condominiums, regardless of the mortgage program generally have more requirements compared to single family detached housing. Part of the reason is that in addition to mortgage approval for the borrower and the home, the homeowners association also needs approving.

To finance with an FHA mortgage is complicated if characteristics of the homeowners association are not in line with FHA loan guidelines for condos. FHA will ask many questions such as how many units are owner occupied, rented or vacation homes, whether it was converted from apartments, or about the possibility of pending or on-going legal action.

I'd ask my mortgage lender what eliminated the condo specifically from FHA financing. A long shot but worth a little bit of time, I'd investigate reasonable explanations to objections that might help FHA understand the condominium in a different light.

Keep in mind that FHA loan guidelines for condos change over the years however sometimes if a condominium project is not approved with FHA, the lender can obtain a spot approval. This is an individual approval for one unit in the building. FHA spot approvals can be lengthy. Consider the timing of your mortgage interest rate lock if you have already locked-in your mortgage rate.

If you decide to move on to another condominium project, check upfront before making an offer to see if the project has FHA approval.

I have provided links to more FHA home loan tips below for your convenience. After reading through the pages, please let me know if you have more questions.

Take a moment to bookmark FHA Loan Guidelines For Condos to your favorites and visit often for more FHA mortgage loan tips. You can also invite friends to comment on this page or ask another question of their own like you did.

Best Wishes,

P.S. Go to my Best Mortgage Rate Blog, an entertaining source of mortgage information. Subscribe now to the RSS feed.

Finding FHA And VA Help You Need

Today's FHA home loans are new and improved. Could low down payments be the solution for you?

FHA loan requirements, and there's plenty of them, weren't taught in school. But I can help with this. Here's how.

Join in with other Americans benefiting from FHA mortgage loans.

FHA Appraisal - Lenders require appraisals. Your Realtor says every smart buyer uses a home inspection. Why both?

Every time you call an FHA lender about a refinance, do you hear FHA Loan Limits are too low for your area?

What could be simpler than FHA Streamline Refinance?

FHA Refinance - Despite the myths, there are powerful benefits to refinancing with FHA mortgage loans.

Does our government owe you FHA refunds?

FHA Reverse Mortgage - Income and security for Seniors minus the payment.

Leaky roof, broken steps, peeling paint. FHA Rehab Loan to the rescue!

If you attempt an FHA Eligibility Calculator, without knowing the questions lenders will ask, you could miss out on a big opportunity.

Three powerful but simple tips to finding your best FHA Lenders.

VA Mortgage Loans - Zero down payment home loans for active military and veterans.

Ask Kate About FHA And VA - Ask a question to get an answer from Kate.

FHA and VA HQs - A complete collection of questions about FHA and VA, each with a individual answer from Kate.

**Super Kate Tip: Why settle for less than perfect credit?
Consult the Experts to Clean Up Your Credit Report.**

Return from FHA Loan Guidelines For Condos to Get Your Best Mortgage Rate