FHA Mortgage loans for Condos and Town homes

FHA Mortgage loans for Condos and Town homestownhome units jointly own the development's
Eligible FHA mortgage Applicants:common areas and facilities. FHA mortgage Insurance
Any creditworthy potential owner-occupant whofor condominiums, such as is provided through Section
meets FHA home loan underwriting criteria and will234C, can be important for low- and moderate-income
make the condominium unit their principal residence isrenters who wish to avoid being displaced by the
eligible for a mortgage insured under this program.conversion of their apartment building into a
Florida home buyers should know the manycondominium.
advantages of the FHA mortgage loan programs.Type of Assistance:
FHA loans were created to help increase homeThis program insures an FHA mortgage  loan for as
ownership. For the Florida Condo or townhome buyermany as 30 years to purchase a unit in a condominium
the FHA program can simplify the purchase of abuilding -- which must contain at least four dwelling units
home, making financing easier and less expensive thanand can be detached or semidetached, a row house,
a conventional mortgage loan product. Some highlightsa walk-up, or an elevator structure. The FHA
of the Florida FHA loan program include:mortgage loan is made by a FHA approved lending
- Minimal Down Payment and Closing costs.institution, such as mortgage company, bank, or savings
- Down payment less than 3% of Sales Price Giftsand loan association, and is insured by HUD's FHA loan
are allowedprogram.
- Seller can credit up to 6% of sales price towardsMost of the features of FHA's Section 234C FHA
closing and prepaid costs.mortgage insurance are the same as those governing
- 100% Financing availableHUD's basic FHA mortgage insurance program, FHA
- No reserves required.Mortgage Insurance for 1-4 family Section 203B. For
- FHA regulated closing costs.example, down payment requirements can be low as
- Easier Credit Qualifying Guidelines such as:only 3.5% because FHA insurance allows homebuyers
- No minimum FICO score or credit scoreto finance about 96.5 percent of the home's cost
requirements.through their FHA mortgage. In addition, some seller
- FHA will allow a home purchase 1 year after apaid closing costs can be financed, reducing up-front
Bankruptcy.costs. And, FHA limits some fees that FHA approved
- FHA will allow a home purchase2 years after amortgage lenders charge-for example, the FHA loan
Foreclosure.origination charge. FHA sets limits on the size of the
To take advantage of the FHA program in Florida,FHA mortgage loan that vary with location and the
give us a call 1-954-667-9110 to find out more aboutnumber of units being purchased.
the many FL mortgage programs we can makeHowever, Section 203 C condo loans have some
available. Or Apply now for a FL FHA home loan.unique restrictions. If the apartment is in a building that
FHA Mortgages for Townhomes Condominium Unitswas converted from rental housing, no insurance may
The FHA mortgage insures the FHA home  loan forbe provided under Section 234C unless: (1) the condo
a person who purchases a unit in a an associationconversion occurred more than one year before the
including Town homes and condosapplication for insurance; (2) the potential buyer or
One of the many purposes of FHA mortgage includingco-buyer was a tenant of that rental housing; or (3) the
the purchase of a Florida townhome or condo. FHAconversion of the property is sponsored by a tenant's
 encourages FHA approved lenders to makeorganization that represents a majority of the
affordable mortgage loans  credit available forhouseholds in the project. Eighty percent of
different forms of ownership. FHA Condominium andFHA-insured mortgages in the project must be made
townhome loans, in which the owners of the condo orto owner-occupants.