It just became even more difficult to finance a condo. Fannie Mae, which buys most of the residential loans from lenders, announced more requirements that only apply to Florida:
If more than 15% of a condo’s units are delinquent in their association dues or fees, Fannie Mae will not back the new mortgage.In new condos and condo conversions, at least 70% of the units must be sold, up from 49% previously.Down payment requirements could possibly go up from 25% to 40% or more in some cases.
I know there are some obvious backlashes from these new requirements. Potentially prices could drop further, and there could be an increase in foreclosures. However, I believe this will create unbelievable opportunities for cash buyers!
If you have any questions at all regarding today’s stricter financing guidelines, I would highly recommend you contact our in-house Senior Loan Officer, Kelly Rebimbus at 239-273-5239. She is happy to answer your questions directly. Kelly is a top professional with whom our team has had the pleasure to work. She can pre-approve you in record time so that when you are ready to go out and find your dream home in paradise, you’ll have the tough part, financing, behind you!