Northstar Funding is now offering FHA financing on individual condo units.
Under the updated guidelines which took effect on Oct. 15, 2019 – an individual condo unit in a building of 10 units or more may be eligible for spot approval if 10% or less of the units are FHA-insured. For units in buildings with fewer than 10 units, no more than two units can be FHA insured.
Owner Occupancy restrictions have also been revised, eligible condo projects can now be just 50% owner-occupied and will insure up to 50% of units in any given project.
This is expected to qualify an estimated 20,000 to 60,000 more condo units per year for FHA financing.
Currently, only 6.5% of the 150,000+ condo projects across the country are approved for FHA financing.