Tag Archives: FHA loans

FHA Loans Lay Low in San Francisco

Buyers making purchases with FHA loans are a rarity these days in San Francisco. In the past two years, FHA loans were used by only 54 single-family home and six condo buyers, as per the SF MLS.

An FHA-insured loan is backed by the U.S. Federal Housing Administration, which insures a loan made by a private lender. Buyers can make a purchase with a very low down payment. FHA loans are a bit more complex than regular loans, and typically take longer to process.

The San Francisco market moves quickly, and many sellers don’t want to wait any more than 21 or 30 days to complete their transaction. Many buyers also have large down payments these days and make offers that frequently omit loan contingencies. So it’s no wonder that in a competitive offer situation (nine times out of ten), a seller will go with the buyer that presents the most direct and efficient path to closing. And that typically will not involve an FHA loan. Continue Reading

New FHA Condo Rules Restrict Buyers

New Federal Housing Administration (FHA) financing rules for condo buyers are already limiting purchases—particularly in new developments.

The FHA is now limiting the number of buyers who can obtain loans insured by the agency in one building, effective as of Monday. The rules also put limits and a lot more restrictions on loans granted to buyers purchasing units in buildings which have too many delinquent owners, poor finances and high quantities of rentals. Continue Reading

Yours Truly Quoted in the NYTimes on FHA Loans in Expensive Areas

I had the opportunity recently to speak with New York Times reporter David Streitfeld, who was working on a story about FHA loans in high-priced cities. The piece is running today: With FHA Help, Easy Loans in Expensive Areas. (And I’m quoted!)

The upshot of the story is that there’s growing concern that FHA loans—particularly if the loan limits increase—could end up causing the next housing crisis. Streitfeld profiles three San Francisco buyers who got an FHA loan to purchase a two-unit building in Hayes Valley.

No More FHA Condo “Spot Approvals”

If you’re a buyer approved for an FHA loan, your choices are somewhat limited when it comes to condo possibilities.

The FHA was okaying condo buildings on an individual basis to add to its existing list of approved properties—until recently. From this point on, there won’t be any further spot approvals. And in October, the projects on the list will be required to apply to remain on the list. Continue Reading

FHA Loans Cover Condos

Though Federal Housing Administration (FHA) loans cover single-family homes and multi-unit buildings, these loans include condos, too. The loan amount maximum is $625,500, and you can obtain a loan with as little as three percent down.

However, the condo must be located in an FHA-approved building. So what buildings are approved? Here’s a partial list: Continue Reading

Get in touch:

Eileen Bermingham

Corcoran Global Living

415.823.4656

eileen@insidesfre.com

DRE# 01352627

Back to Top

Back to Top

Show All
Marina
Mission

There is no custom code to display.