FHA Condo Update

HUD just released a new Mortgagee Letter with the updates on the condo approval process.  It is effective for all case numbers assigned on or after December 7th, 2009 until December 31st, 2010.  A case number is assigned when a borrower finds a property and it is associated with the borrower and property.

Spot approvals will be eliminated as of February 1st, 2010.  The most important item is that “All requests for approval of condominium projects located in Florida will require submission to the Atlanta Homeownership Center for review, under the HUD Review and Approval Process (HRAP).”  In English that means it will take longer to get them approved. 

To read the Mortgagee Letter in full, click on the link below:

http://www.hud.gov/offices/adm/hudclips/letters/mortgagee/files/09-46aml.pdf