Condominium Associations, when possible, should attempt to be FHA certified. The FHA certification makes it easier for purchasers to secure a loan and that the loan would have lower down payment requirements.
Certification was particularly hard to obtain for many of our clients for one main reason:
Previously, 50% of condominium units needed to be owner occupied. The recent revision to this law states that number can be as low as 35%. Condominiums with high renter rates over 65% or a large population of second homeowners will remain ineligible for FHA certification.
If your condominium has a 35% owner occupied rate, then you should consider reviewing the other requirements for FHA certification. You can view the other certification requirements here.
Whiteord, Taylor and Preston put out this great article about the changes that occurred through the Housing Opportunity Through Modernization Act.
Thanks for reading. Are you eligible for for FHA Certification?
