I specialize I'd OWC homes. The minimum DP is 10%, asking prices are usually higher then current market value by 5 to 10%, terms ate usually no longer then 7 years, interest rates about 2 to 3 % over prime rate, some longer up to 10 years at which time you need to pay off seller. If you want to know more and want help, call me any time after 8am. Matthew 702.501.0973
I do not know why an OWC would accept 10% down. The OWC's that I have listed have looked for 25% down or more. If the Buyer cannot qualify for a 3.5% FHA loan, or a Conv loan with 10% to 20% down, why would a property owner want to a larger risk than the US government and/or the Banks, to loan money to an individual?
Purchasing a property is not a right as many politicians want to believe. It is a privilege to those who have proven their ability and past actions to be trusted with their money and another persons property.
Expect to need 25% down, interest rate to be 7% to 12% with a 5 year balloon for a note.
I suggest you keep renting until you have 20% down and additional funds for closing costs.
Universal Capital Mortgage Corp. continues to be a leader in the funding of non warrantable condo loans in California. We offer a full line of fixed and adjustable mortgages, all with no prepayment penalties.
A condominium can be considered non warrantable when the project does not have Fannie Mae or FHA approval. This can be for a number of reasons, but the main ones are below:
-Project is new and does not have required % of units presold or closed
-A portion of the project is commercial (mixed use)
-There is a high concentration of renters in a project
-The HOA is involved in litigation
-The HOA budget reserves are not adequate
-One person owns more than 10% of the units in a project
-The developer never applied for project approval
There are only a handful of investors in the U.S. that will lend on non warrantable condos. These lenders are portfolio lenders, which means they fund loans and keep them in their portfolio of loans, and do not sell them off on the secondary market.