Agent

Navigating FHA condo roadblocks

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

Q: I'm buying a bank-owned condo and have signed to release all contingencies. But the FHA wants so many things signed by the HOA management company that it's taking forever! We were supposed to have closed about six weeks ago, but the FHA keeps coming back and saying it needs something else. The bank that I'm buying the property from is charging me $100 per day because we didn't close on time. How can I back out of this mess? What can I do to get my $6,000 deposit back? --M. Johnson A: Welcome to the not-always-so-wonderful world of buying a condo in a non-Housing and Urban Development (HUD)-approved complex using an FHA loan. Many people are not aware, but to buy a condominium with an FHA loan, not only must your particular unit pass FHA's condition guidelines, but the actual complex must be approved by HUD. There is a website operated by the federal Department of Housing and Urban Development, which administers the FHA loan program, with a searchable database for all ...