I know that fha don't do Co-op loans but about the hoa restrictions in new yor city I'm not sure.

Look at this blog it will help you to learn more about your situation.
I've got most of my answers there as well.

Good Luck.

Peter
"Spot approvals" on buildings that are not on the FHA list are very easy to do by a lender who asks the right questions up front. So, you do not need to be limited to projects on the HUD list.

Secondly, and more to the point of your question, the biggest drawback to NY condos has been the restrictive covenants clauses found in most condo bylaws, which FHA won't allow. Beginning in October, all this changes because FHA announced recently that it WILL ALLOW financing on buildings with restrictive covenant clauses -- huge for NYC. Also beginning in October there will be no more "spot" approvals but project approval will be much easier and greatly simplified.

As for co-ops and FHA - forget it.

Remember that you must buy before December to get the tax credit unless it is extended through the following year, which is anybody's guess at this point.

Ruth Bonapace
Bank of America Home Loans
New York and New Jersey
ruthbonapace@gmail.com

Peter,

Anoop is telling you exactly what holds true if you wish to make your purchase experience much easier. If the project is already FHA/HUD or FNMA approved, you have saved yourself a lot of trouble.

I would only add that sometimes it is possible to get a "spot approval" on a condominium in a project that is not already on those lists. In other words, your lender makes an appeal to get your unit approved even if the rest of the complex is not. This does work in some cases, but again, it is not always convenient and rarely comes about without much added stress.

Feel free to get in touch if you need more information.

Best regards,

Rob Spinosa
rspinosa@mortgagemasterinc.com

Hello again Peter,

Here is the information extracted from the FHA web site:

"When considering purchasing Condos or Townhouses these project must have already been approved by the FHA and HUD. There is no exception to this rule and it is advised that you start your search for approved Condo and Townhouse projects on the following web site: https://entp.hud.gov/idapp/html/condlook.cfm . Also keep in mind that when searching for these projects the HUD page will only display approved condo or townhouse projects in that zip code or town, so it is suggested you first make a list of zip codes you would consider living in then search for projects. Search the HUD database for condos. This will open a new window where you can search. If you have a problem following the link disable your pop-up blocker.

Before you contact the FHA approved project please keep in mind it is very important to already be pre-approved."

Hope this helped

Anoop Punjabi
Halstead Property LLC
Tel: (212) 317-7844
Email: apunjabi@halstead.com