Tag Archives: loan

New guidelines in place for FHA-backed condo loans

Michael HunterMany homes today are purchased using FHA-backed mortgage loans. One recent estimate is that at least 30 percent of condo purchases are made with such loans.

To qualify for FHA-backed loans, condominium projects must be approved by the FHA based upon specific guidelines. Those guidelines have been in flux for many months, and the FHA just issued comprehensive new guidelines June 30. Some of the notable provisions:

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FHA Condo Loan Approval: New Glitches Arise

FHA Condo Loan Approval: New Glitches Arise

July 15, 2011
 

In this week’s tip, we provide answers to an HOAleader.com reader’s question.

Our reader writes, “We have been notified that we must apply for FHA approval to provide reverse mortgages for our homeowners. We’ve had FHA approval since 1978. However, we must now begin the process all over. Our master deed contains a ‘right of first refusal’ covenant, which, according to our lender, FHA won’t approve. Has anyone encountered this problem and, other than amending the master deed, come up with a solution?”

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How to Stretch Your Reserve Dollars

What does an association do when faced with millions of dollars in repairs and inadequate funds in their reserve account? There are several options, including deferring projects, bank loans and special assessments. However, if the needs are urgent, phased planning is the key. When it is not possible to make all the necessary repairs immediately due to budgetary constraints, phased construction can be key to getting the project done with the money available.

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HOA Bank Sold to PNC

Pittsburgh-based PNC bank buys RBC for $3.45 billion

In a move sure to negatively affect Homeowners Associations, Condominium Associations and Property Owner Associations and the professional association management companies who use their services, Pittsburgh-based PNC Financial Services Group is buying Raleigh-based RBC Bank in a deal worth $3.45 billion.  The deal was announced early Monday after media reports over the weekend said PNC Financial had topped Winston-Salem based BB&T in the bidding for RBC.     

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