Buying an apartment in Miami, Florida. How much down-payment?
I am trying to buy an apartment because it is a cheaper option. The problem is FHA does not qualify for most apartments and Conventional Loan requires me to put down 25%, unless the condos have a reserve (which is rarely the case). This is the information my realtor gave me, is this correct? What are my options?
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(1) | asked by: Mario Farquhar | share | 25 months ago | Report
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answer by Cuinndney Mantilla
Did you buy your condo? There two buildings in Brickell where you can buy with 3.5% with FHA. Let me know
most of the time its first, last and deposit
20% Down Conventional Loan
It all depends on what you want to buy , if you qualify you can put down as little as 3.5% and there are programs where you can get financial help from the county such as the MAP program.
Hello, are you still looking apartment , can i help you?
If you qualify for an FHA Mortgage the down payment is 3.5% of the purchase price, and conventional can be between 10 to 25%, but if the rate is below 25% private mortgage insurance is required. Please let me know if I can help you with your purchase. Gregory Atlantic Florida Properties 561-729-9061.
Hello Mario...The rules and guidelines for FHA financing and condos have opened up. Many more condos now qualify for FHA financing. It is important that your realtor verify the property you are considering does qualify. If you need assistance in your search please give me a call....305-282-6700.
In Miami there very few condos that accept FHA, my client just purchased a condo and had to get a conventional loan putting 25%.
In Miami there are not to many condos that accept FHA. I just closed a deal for a condo and my buyer was required to put 25% down conventional financing.
I depends on the loan you qualify for. If the complex is FHA approved, which not too many are, the down payment could be as low as 3.5%. There are conventional loans that require 5 - 25 percent down payment. I just closed a condo deal with conventional that required 10%
I have a 2/2 for sale on Biscayne Bay off of 79th st. with excellent reserves! Let me know if you're still looking.
GOOD NEWS!! HUD eases FHA condo financing rules SAN DIEGO – Nov. 13, 2015 – ..Effective immediately, FHA will streamline the condominium recertification process and expand its definition of acceptable "owner-occupied" units to include second homes not owned by investors. The provisions expire in one year "until the agency can implement a more comprehensive condominium rule change."The change should qualify more condo complexes for FHA loans. That, in turn, will give more buyers access to FHA low-downpayment mortgages. The new rule: Modifies the requirements for condominium project recertification Revises the calculation of FHA's required owner-occupancy percentage Expands eligible condominium project insurance coverages Florida homebuyers, perhaps more than any other state, will benefit from FHA's new rule. "This is going to be an amazing stimulus to the housing market for the first-time homeowner and entry-level housing buyer," says Frank Kowalski, president of Florida Realtors in 2005 and an insurance agent. "It's a catalyst for change and long overdue. Thousands of contracts could not use FHA financing, and buyers were forced to come up with 25 – even 30 percent downpayments." Kowalski says FHA's rule change should help more than just first-time buyers, however. Condo financing problems also frustrated the move-up market – condo owners who want to make the move to single-family housing. "It's difficult to sell an existing unit if you can't find a qualified buyer," Kowalski says. "A lot of people are frozen in place: Those in (a condo unit) can't get out; those out can't get in." According to Golding, the just-announced FHA changes are in line with ones requested by NAR, which has been an advocate for reform. NAR cited problems with a lengthy and complex recertification process, burdensome owner-occupancy requirements, and the limits on acceptable property insurance. One major benefit for Florida condo owners: the property insurance rule change. FHA will now accept Citizens Property Insurance coverage – the Florida-owned company and largest condo insurer in the state. In addition, FHA changed the way it will view co-insurance clauses, which exist with most Florida condos. That change alone will help up to 85 percent of Florida's condos....
Your realtor is correct. There are not many condos that qualify for FHA. In my area ( Martin County Florida ) there are only 2.
Your Realtor is correct. There are NO condo complexes and I have spend hours looking into it that qualify for FHA in MIami area period. And to make things more interesting there are about 5-10 % of all condo complexes that have reserves of some kind at all. Going 25% down is your only option unless you buy a single family home that does not have HOA like condo assn.
answer by Ted Benner
I'm looking for some thing to rent or bay for the winter months has to be hand cap access ale.
If the condo where you wish to buy is not FHA approved, unfortunately I have to agree with your Realtor's comments.
The realtor has advised you correctly.
Your realtor informed you correctly.
Your Realtor is correct to a point. Most lenders (banks) prefer to do a loan with at least 25% down, making a safer loan and avoiding the condo questionnaire that can kill the deal. I strongly encourage buyers to go with a 25% down payment however I am working a deal that buyer is going with only with 10% down. It is very important who is the lender.
Most lenders they prefer for buyers to go with 25% down to avoid any issues and the condo questionnaire. I am working now with a lender that can make the loan happen with only 10% down and no condo questionnaire. The lender will give you two loans one for 75% and a second loan for 15%. For more information feel free to contact me.
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