3 Options for Condo Financing

Here are 3 ways to finding financing for your future condo!

  1. Full Review

With a Full Condo Review a buyer can purchase condo with as little as 3% for First Time Home Buyer &   5% down for non-first time home buyers. We ask the Condominium Association 37 questions & review both their insurance and their budget. We as a lender want to make sure that you are protected from any special assessments or surprises down the road. Here are the main questions that we need answered in order to determine if you can buy a new condo with as little as 3% down –

  • Is the condo association involved in any litigation?
  • Does the association put away enough reserves to keep up with deferred maintenance?
  • Does anyone individual own 10% or more of the condo units?
  • No more that 15% of the unit owners can be late on their HOA dues
  1. Limited Review

The number one item that keeps a buyer from being able to purchase in a condo association is that the associations do not budget enough funds every year for reserves and building maintenance. If you find a Condo that you fall in love with it is likely that we can finance it even if they do not have an adequate budget per Federal Lending Guidelines. This is called a Limited Review Condo Approval. Here are some quick points about a Limited Review Condo Approval –

  • A buyer must put down 25% if they are buying the Condo as their primary home & 30% down if they are buying the home as a second home
  • The Condo Association must not be involved in any Litigation
  • 1 individual cannot own 10% or more of the total condominium units.
  1. Limited Review with 10% down & 15% Second HELOC

If you don’t have the 25% down to put on a condo, don’t worry, we should be able to get them financing with as little as 10% down. You bring 10% of your own funds to closing and we get you a HELOC to cover the additional 15%. Here are some key facts about this 10% down option –

  • The Condo Association must not be involved in any Litigation
  • 1 individual cannot own 10% or more of the total condominium units.
  • 51% must be owner occupied