can you get a condo loan if there is no hoa?

Asked by Dibaby, Chicago, IL Sat Jul 26, 2014

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Matt Laricy, Agent, Chicago, IL
Tue Aug 12, 2014
Most likely not. If you can, it will be a loan that is less than desirable.
0 votes
Scott Newman, Agent, Chicago, IL
Thu Jul 31, 2014
I would contact a Lender to help answer your question
0 votes
Jeff Nobleza, Agent, Chicago, IL
Wed Jul 30, 2014
You CAN get a loan if there is no HOA from certain lenders. The requirements are a little more demanding though.

Feel free to contact me at 773 677 5340
Jeff Nobleza
Baird & Warner Real Estate
0 votes
Margaret Lei…, Agent, West Hartford, CT
Tue Jul 29, 2014
The only reason I can think of that a condo complex does not have an HOA is that it is new construction. In that case, the decision-making for the complex shifts from the builder/developer to the owners when the majority of the units have been sold. In this case, you should be able to get a mortgage provided both you and the complex qualify.
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Mike Opyd, Agent, Chicago, IL
Tue Jul 29, 2014
Not likely forma lending institution. Would prob have to pay cash.
0 votes
Will Goldberg, Agent, Chicago, IL
Sun Jul 27, 2014

You will not be able to get a conventional loan if their is no established HOA. This is because banks want to ensure that rules are regulations are in place to fix issues with homeowners that share common elements. These situations can get messy and it not addressed can drastically impact the value of your condo.

Will Goldberg
0 votes
Bob Brandt, Agent, Schaumburg, IL
Sun Jul 27, 2014
You would probably only be able to get a loan from a relative or pay cash.
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Jill Murty, Agent, Mission Viejo, CA
Sun Jul 27, 2014
It seems unlikely that a condo would not have an HOA, but the non-existence of an HOA should not affect your ability to obtain a loan.
0 votes
There are many condo buildings that have no HOA, due to absentee owners who are renting out their units and don't know or care about common area maintenance, bylaws or anything other than collecting rent. Other buildings have several units in pre-foreclosure where the banks are not yet paying dues. I live in a 4-unit building: One is bank-owned, another is rented out, and the third owner refuses to be involved with the HOA. We don't have a board, as I'm the only one on the board.
Flag Sat Aug 16, 2014
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