FHA/VA Condo Project Approvals

That Doesn’t Count Towards the 10% Reserve ContributionIt’s budget season for many condominiums who run on a calendar year and we have run across an issue with several of our clients and potential clients.  Everyone knows that FHA (and Fannie/Freddie) require that a condominium contribute 10% of ...

9 Types of Condo Projects that Must be Reviewed by HUD/HRAPWhile HUD allows lenders with Direct Endorsement authority to review and approve condominium projects on HUD’s behalf (DELRAP), there are 9 different circumstances where the condominium must be reviewed directly by HUD (HRAP). Condominium...

More About FHA’s Stance on Condominium Leasing RestrictionsTwo weeks ago, I published an article about some recent clarifications by FHA regarding condominium leasing restrictions.  The article created quite a buzz and generated many calls and email inquiries regarding its content.  This is a fol...

Airbnb and FHA Condominium ApprovalOne of the topics on HUD’s agenda for the roundtable session last month was that of “Airbnbs”.  I have to admit that even with all of the condominiums that we have worked with, this was a new concept for me.  None of the legal documents of our condominium client...

What Condominium Leasing Restrictions Are Allowed by FHA?FHA-allowed leasing restrictions in condominiums has been a hot topic as of late.  As we all know, a condominium’s legal governing documents may place restrictions on the leasing of units in the condominium.  These restrictions can vary gre...

In the article below, Gabrielle does and outstanding job of explaining the difference between a condominium's HOA Master Insurance Policy and the unit owner insurance policy.  There is a distinct difference that every unit owner should understand.Please go to Gabrille's original post to leave a c...

Last week, I attended a two-day session about FHA condominium project approvals with HUD in DC.  Incomplete submissions and the Appendix A Project Certification were among the most important topics discussed.First off, HUD will only review packages submitted by the following entities: Lender, Bui...

Does HUD Allow Private Transfer Fees?  Yes and NoOver the past two days, Eric attended a session about FHA condominium project approvals at HUD Headquarters in Washington DC.  There were many topics discussed during the session, some of which are highly classified.  Well, not really because they ...

The VA is Definitely Tougher on Condo Leasing RestrictionsIn the past month, three of our condominium submissions have been approved by FHA and rejected by the VA - all for leasing restriction language.  Through at least the end of the year, when hired for FHA Condominium Project Approval, we are...

Our Condominium Has 50% FHA Concentration - Now What?Our first response would be to make sure that you don’t lose your FHA Condominium Project Approval!  Obviously, FHA buyers are attracted to your community so it would be beneficial to the association to maintain this approval.Really, though, th...