Spring time signals the return of home buyers who were probably on hiatus over the winter months. With all the fabulous condos available dirt cheap through either short sale or foreclosure this could be the opportunity of a lifetime as Warren Buffet puts it. Now could be the right time to get you out of the apartment and into your own homeplace. Just a few things to be aware of when working with your real estate agent on these deals when it comes to HOA's. It is very difficult to get financing in Atlanta for condo's because so many of the HOA's are showing delinquent owners dues outstanding. Do you know what that means? A lender will not make loan on the place with greater than 15% delinquency on dues. They may not make a loan if there is abnormallly high renter to owner occupant ratio. The rules come through Fannie Mae and Freddie Mac not the bank exactly. There is way a smart lender can help you though eligibility but so many times they don't want to make the effort for the possible buyer. Good news is we have some wonderful lenders who will take the time to have building recertified.
Some of the items that lenders need from the management company on the condo is the budget first and foremost. That can be gotten from website of management company or officer of HOA. There is a charge for this anywhere from $70-$225 and it is paid by buyer. That fee includes 6 page condo questionnaire detailing with every aspect of the association and building. The master insurance certificate is also required and it is normally 1 page showing liability limits. If the condo association has an attorney representing their best interests then the place is probably run well. If that is not the case the condo association suffers and dues may not be collected. This is what has happened all over Atlanta. Many home owners are upside down and not paying fees so problem is compounded at closing. The lenders will not pay back homer's fees so the new buyer may have to do that in order to close,