Many buyers use FHA loans to purchase their homes due to the low down payment (3.5%). However, not all types of residential property were available for FHA loans. Many folks, especially empty nesters, no longer want the huge house and big yards. They would prefer a condo type community.
Until now, the entire building would have to be certified by FHA, meeting their standards. This was problematic for folks who wanted to buy and sell because it eliminated an entire part of the lending community.
FHA will now allow consumers to get an FHA condo loan if less than 15% of the dues are less than 60 days late. Previous to this it had been 30 days. Also, condo boards are now less liable to FHA violations.
Congress also voted to strengthen FHA. It was reported earlier this year that they were risking becoming insolvent. They raised premiums and received money from a lawsuit to avoid this. Congress is now allowing them to go after unscrupulous lenders, strengthen oversight and collect losses "from lenders who made material errors in underwriting or committed fraud."
By the Numbers
Septembers totals as of today:
Total listings: 41
Average Days on the Market: 86
Median Price: $81,900
Average Price: $106,281
High Price: $530,000
Low Price: $30,000