Loan Limits Increase in 2019!

by | Dec 5, 2018 | FHA Mortgage, Mortgage Information, Other Information

After not increasing the maximum conforming loan limits on mortgages to be acquired by Fannie Mae and Freddie Mac for 10 years, the Federal Housing Finance Agency has now increased the conforming loan limit for the third year in a row. On November 27th, the FHFA announced that it is increasing the conforming loan limit for Fannie and Freddie mortgages in nearly every part of the U.S. According the FHFA, the conforming loan limits will rise from 2018’s level of $453,100 to $484,350 for 2019. That’s an increase of 6.9%! As stated above, this marks the third straight year that the FHFA has increased the conforming loan limits after not increasing them for a period of 10 years (from 2006 to 2016). Back in 2016, the conforming loan limits were increased from $417,000 to $424,100. Then, in 2018, conforming mortgage loan limits were raised from $424,100 to $453,100. And now, the FHFA is doing it again, increasing the loan limit from $453,100 to $484,350 for 2019. The conforming loan limits for Fannie and Freddie are determined by the Housing and Economic Recovery Act of 2008, which established the baseline loan limit at $417,000 and mandated that, after a period of price declines, the baseline loan limit cannot rise again until home prices return to pre-decline levels. But, according to the FHFA, home prices are still on the rise. The FHFA’s third quarter 2018 House Price Index report, showed that home prices rose 6.9%, on average, between the third quarters of 2017 and 2018. Therefore, the maximum conforming loan limit in 2019 will increase by the same percentage to $484,350. The conforming mortgage...

FHA Approved Condos in Sarasota County as of 11/6/2017

by | Nov 6, 2017 | Mortgage Information

      Below is a list of condos in Sarasota County that are currently approved for mortgage financing with an FHA mortgage loan. Condominium mortgage financing is different from single family home mortgage financing in the fact that the condominium associations must be approved by the lender and also by FHA/VA if doing an FHA or VA mortgage loan. If you have any questions about condominium financing with a mortgage loan, please contact us today at 239-307-LEND (5363). Condo Name Address Composition of Project Expiration Date BAY STREET VILLAGE NAVIGATION CIRCLE OSPREY, FL 34229 Project is under   construction. Total number of units will be 209 units. Phase 3, Building 3 07/20/2018 BUCKINGHAM MEADOWS ST ANDREWS MONARCH DRIVE VENICE, FL 34293 28 units/4 Phases ***FULL PROJECT NAME: Buckingham Meadows of St. Andrews East at the   Plantation 06/23/2018 CENTER GATE VILLAGE CONDO #7 CENTER POINT LANE SARASOTA, FL 34233 12 buildings   (duplexes) – Each building contains 2 units 12/29/2018 FAIRWAYS OF CAPRI CAPRI ISLES VENICE, FL 34292 4 units single story   & 8 units 2 story building 11/23/2017 (nearing expiration) LIDO SURF & SAND BEN FRANKLIN DR SARASOTA, FL 34236 High-rise   Condominium Building 12/31/2017 PINESTONE AT PALMER RANCH 4255 PLAYERS PLACE SARASOTA, FL 34238 310 units 08/30/2018 STONEHAVEN CONDOMINIUM MOONSTONE DRIVE SARASOTA, FL 34233 Townhome style units   244 05/03/2018 VERANDA VII AT HERITAGE OAKS HYLAND HILLS AVENUE SARASOTA, FL 34241 2 Floors 12 to 16   units per building 03/01/2018   If you’d like to search for condos which are approved for FHA mortgage financing in your area, you can do so at...

Fannie Mae Condo Financing and Reserves

by | Oct 2, 2017 | Mortgage Information

        Condos which are being financed   by Fannie Mae are subject to not only borrower qualification, but   also condominium association approval by the lender. The lender must   determine the association’s soundness by performing a condominium review of   the project.  There are two types of condo reviews; a full condo review and   a limited condo   review. The determination on when one review is used over the   other rests primarily on occupancy type and down payment. If the buyer is   purchasing a primary residence and is putting less than 25% down, or the   buyer is purchasing a second home and is putting less than 30% down, or the   buyer is purchasing an investment property, the purchase is subject to a full   condominium review. On the flip side, if the buyer is purchasing a primary  residence with at least 25% down or a second home with at least 30% down, the   purchase will be subject to a limited condo review. One of the biggest   differences in the two types of reviews is the lender’s responsibility to   analyze the Association’s budget and to see if it is setting aside sufficient   reserves for future replacements – in a full condo review, this is required,   in a limited condo review, this is not required. When determining if reserves are sufficient, the lender must review the HOA   projected budget to determine that it: is adequate (i.e., it        includes allocations for line items pertinent to the type of condo        project), and provides for the funding of       ...