Mortgage News:

 

For lenders , Condos have always been a little more of a challenge than single family dwellings. 

 

Most lenders follow Fannie Mae criteria for condos.   Fannie Mae has limits on the number of home owners which can be delinquent on HOA dues, the percentage of units which can be rented and it will not allow loans on condotels-the definition of which is vague.  In addition, if there is litigation in the project, most lenders will not finance any properties in the project.

 

If you have a listing for a condo which is in a project with any of the above issues,  it is worthwhile to check with a few of your favorite lenders to find out if they have any concerns about the condo project meeting Fannie Mae guidelines.

 

Economic News:

Though it told us rather little, the past week was kind in its gentleness. Not a lot happened, though the sound and fury blaze on in Washington.

Perhaps we can read this as a vote of slightly greater confidence in the economy. We can often make out, if only vaguely, the underlying direction of the economy if it just slows down a little. On the other hand, it may also suggest that the markets are unlikely to move--perhaps out of investors' uncertainties about the future--until something comes along and pushes things in one direction or another.

In any case, I choose to see it as mildly good news and to hazard a bit of slightly greater optimism about the future. Time--and the movements of the euro--will tell, of course. We'll watch closely together.

 

Posted by Tim Lampe, Written by Steven Peterson