Lakewood Mortgage Broker's Advice on Condo Mortgages
LakewoodMortgageBroker
2015-07-14
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Call 303-933-1466 or visit http://www.equitylinkmortgage.net
Lakewood Mortgage Broker’s Advice on Condo Mortgages
Lenders find condos riskier than other residential properties.
So they have more rules about lending against condos.
So, if you’re finding yourself Googling 'Lakewood mortgages', 'mortgage broker Centennial', etc. and you’re looking to buy a condo, read this article.
Most condo mortgages involve either conventional or FHA loans. FHA condo mortgages are harder to get and more expensive.
So, the first thing to do if you find yourself Googling 'mortgage brokers Lakewood' or 'Centennial mortgages' is to find out what type of loan program you qualify for.
To find out if the condo project you’re interested in is approved by the FHA, follow this link: https://entp.hud.gov/idapp/html/condlook.cfm.
If your condo project is not on that list, make sure you find a mortgage broker / lender that can get it approved for you (for free is best) or hire an attorney that can.
These 7 criteria trip Lakewood condo buyers the most:
1. An amount equal or higher than 10% of the association’s budget must be transferred into the reserves account.
2. No entity can own more than
a. 1 unit in projects with 4 units or less;
b. 2 units in projects with 5-20 units;
c. 10% of the units in projects larger than 21 units.
3. No part of the association’s income can come from things that are not essential to running an association (i.e., regular or special assessments and maybe from cable fees; they can’t be from the association running a business or renting space).
4. No more than 25% of the project can be commercial in nature.
5. The developer must have turned over control to the association.
6. The association is involved in a litigation that's not about foreclosure and there are monetary motivations at play.
7. No more than 49% of the units can be rented.
So, if your Lakewood condo doesn’t follow one of these rules, make sure you find yourself a mortgage broker / lender who has looser rules.
Note: some have looser rules only when it comes to reserves, others only when it comes to commercial space, others… So, not any lender with looser rules will do.
So, how do you go about making sure your Lakewood condo mortgage application goes through without giving you a heart attack?
You talk to the person in charge of the association and ask for the following documents before you even write up an offer:
1. Budget
2. By-laws
3. Condo Rules and Regulations
4. Articles of incorporation.
It’s easier if you get your Lakewood mortgage broker to get you a condo questionnaire and have the association fill it up.
You found this video at http://www.dailymotion.com/video/x2xz0gb
My channel: http://www.dailymotion.com/lakewood-mortgage-broker
Follow me on
FaceBook: https://www.facebook.com/EquityLinkMortgage/timeline
Google +: https://plus.google.com/114738157342566570136/about
My site is at: http://www.equitylink.net
Lakewood Mortgage Broker’s Advice on Condo Mortgages
Lenders find condos riskier than other residential properties.
So they have more rules about lending against condos.
So, if you’re finding yourself Googling 'Lakewood mortgages', 'mortgage broker Centennial', etc. and you’re looking to buy a condo, read this article.
Most condo mortgages involve either conventional or FHA loans. FHA condo mortgages are harder to get and more expensive.
So, the first thing to do if you find yourself Googling 'mortgage brokers Lakewood' or 'Centennial mortgages' is to find out what type of loan program you qualify for.
To find out if the condo project you’re interested in is approved by the FHA, follow this link: https://entp.hud.gov/idapp/html/condlook.cfm.
If your condo project is not on that list, make sure you find a mortgage broker / lender that can get it approved for you (for free is best) or hire an attorney that can.
These 7 criteria trip Lakewood condo buyers the most:
1. An amount equal or higher than 10% of the association’s budget must be transferred into the reserves account.
2. No entity can own more than
a. 1 unit in projects with 4 units or less;
b. 2 units in projects with 5-20 units;
c. 10% of the units in projects larger than 21 units.
3. No part of the association’s income can come from things that are not essential to running an association (i.e., regular or special assessments and maybe from cable fees; they can’t be from the association running a business or renting space).
4. No more than 25% of the project can be commercial in nature.
5. The developer must have turned over control to the association.
6. The association is involved in a litigation that's not about foreclosure and there are monetary motivations at play.
7. No more than 49% of the units can be rented.
So, if your Lakewood condo doesn’t follow one of these rules, make sure you find yourself a mortgage broker / lender who has looser rules.
Note: some have looser rules only when it comes to reserves, others only when it comes to commercial space, others… So, not any lender with looser rules will do.
So, how do you go about making sure your Lakewood condo mortgage application goes through without giving you a heart attack?
You talk to the person in charge of the association and ask for the following documents before you even write up an offer:
1. Budget
2. By-laws
3. Condo Rules and Regulations
4. Articles of incorporation.
It’s easier if you get your Lakewood mortgage broker to get you a condo questionnaire and have the association fill it up.
You found this video at http://www.dailymotion.com/video/x2xz0gb
My channel: http://www.dailymotion.com/lakewood-mortgage-broker
Follow me on
FaceBook: https://www.facebook.com/EquityLinkMortgage/timeline
Google +: https://plus.google.com/114738157342566570136/about
My site is at: http://www.equitylink.net
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