Important Information for Condo Owners

As financing requirements for condominiums becomes more stringent, condo-owners and potential buyers should be aware of what that means for them, their HOA and their ability to sell their condo when it’s time. Your HOA holds the key to your ability to sell your condo to anyone who will need financing to purchase.

Traditional mortgage financing for condominiums requires the lender to conduct a condo project review before loan approvals will be given. The review process will include a review of the HOA budget to verify that at least of 10% of overall budget to be in reserves for capital expenditures and deferred maintenance of the project.

What Can You Do To Protect Your Sale?

• Work with your Axiom Mortgage Consultant to review the project and determine eligibility.
• Get a copy of the HOA’s budget and verify that 10% is in reserve for repairs to the project.
  
• If they reserved less than 10%, petition your board to make changes necessary to adhere to new lending standards.
  

Keep the confusion to a minimum and talk to your Axiom Mortgage Consultant first. They will help you through the process toward a satisfactory sale or purchase.

© 2010 Axiom Financial LLC. All services rendered by Axiom Financial are to assist in providing mortgage loans. Axiom Financial is not a licensed real estate brokerage and offers no advice in real estate services. OAC. Not an offer to lend. Restrictions apply.