More Condos to Be Approved for 3.5% Down FHA Home Loans October 15

Condominiums are often the most affordable option for first-time home buyers, small families, and those in urban areas. Buyers looking to pick up a good deal with a low down payment will have more choices in a couple months.  #fha #condo

Over recent years, it has not usually been practical to do an FHA backed mortgage for most condos because it would often fail. That situation appears to be changing very soon. The California Association of Realtors has just announced that FHA will make it easier to purchase condos with FHA financing beginning October 15.

NAR: New Condo Rules Will Open More Doors for Buyers

The association says changes to FHA financing qualifications will bring more entry-level homes to the market, helping to meet buyer demand. The relaxation of some rules by HUD is expected to help revive the condo market.  NAR says the new condo rules, which will help more would-be buyers access affordable housing, satisfy many of the changes the association has backed for more than a decade.

To qualify, the condominium building must have at least 50% owner-occupancy, and a maximum of 35% commercial space. HUD may approve an owner-occupancy level as low as 35% for older properties with less than 10% of units in arrears.

580 credit score is all it takes to qualify for FHA financing. Buyers will likely get a better rate with a Conventional loan if their credit score is above 720. An FHA loan is more flexible to obtain, but no matter what, you will have to pay mortgage insurance. A Conventional loan requires a higher credit score and more money down, but does not have as many provisions. Los Angeles County FHA loan limit is $726,525.

On the HUD site, we only see two approved condos in all of Los Angeles County:  1015 ARCADIA AVE, ARCADIA, CA 91007 and 129 N HILLCREST BLVD, INGLEWOOD, CA 90301

On fhaloans.guide, we see many approved condos buildings:

Bunker Hill Tower 800 W 1st St – Approved via HRAP HUD Review and Appraisal Process

On the MLS, we see these recent FHA approved condo buildings:

525 N SYCAMORE AVE
8650 BELFORD AVE
8710 BELFORD AVE
436 S VIRGIL AVE
2884 SAWTELLE BL
4125 INGLEWOOD

Downtown has seen very few recent successful FHA/VA condo transactions, but that should change, and the tiny list of FHA approved condos should grow substantially after October.   |   VIDEO

Here is a HUD federal government website with more help to identify FHA-VA approved condominiums:
https://entp.hud.gov/idapp/html/condlook.cfm

In addition to FHA approved buildings, buyers can today find a few HUD repos and FNMA foreclosures in awesome buildings like The Mercury at 3810 Wilshire Bl.

Buyers should educate themselves a bit before choosing a lender. Regarding the condo situation over the last 20 years in Los Angeles, local real estate agents say that the truth is certain: Many lenders don’t like wasting their time with people who must use FHA. Buyers really need to use one of the lenders that goes above and beyond to help buyers. When they say they can help with FHA, buyers would be wise to ask questions to verify that the lender has successfully completed FHA loans recently.

Get a free list of FHA / VA approved condos for sale. Fill out the online form:

LOFT & CONDO LISTINGS DOWNTOWN LA [MAP]

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Copyright © This free information provided courtesy L.A. Loft Blog and LAcondoInfo.com with information provided by Corey Chambers, Realty Source Inc, BRE#01889449 We are not associated with the homeowner’s association or developer. For more information, contact (213) 880-9910 or visit LAcondoInfo.com  Licensed in California. All information provided is deemed reliable but is not guaranteed and should be independently verified. Properties subject to prior sale or rental. This is not a solicitation if buyer or seller is already under contract with another broker.

 

 

Introducing Entar Real Estate

Feeling Pain of Cooling Market, Good Real Estate Agents Create New Company  #Entar

The Problem: Slowing property market combines with new services that eliminate real estate agents. Good for home buyers, bad for agents.
The Problem: Slowing property market combines with new services that eliminate buyer’s agents. Good for home buyers, bad for agents.

Downtown Los Angeles  —  Readers of the L.A. Loft Blog are privy to the behind-the-scenes creation of a new kind of real estate company coming to the area.  As the Los Angeles real estate market cools, homeowners are snug and holding tight to their current residences. While few would ever shed tears for struggling real estate agents, the reality is that there are only about 1/3 as many transactions in Downtown L.A. compared to a few years ago. This results in nearly all real estate agents seeing a serious reduction in their overall finances, with many finding that they need to change their careers.

Real estate professionals also face a longer term issue of increasing technology and less need to use a real estate agent to purchase a property, thanks to iBuyer services that provide innovative ways for home buyers to see properties without the help of a buyer’s agent. Also, services that offer to buy the seller’s home quickly for cash, without the need to take months to market it on the agents’ MLS and elsewhere.

From 1960 to around 1990, the average commission was about 7%. Today, it’s falling toward 5%. Buyer’s agent commissions are about 2.5%, and appear to be headed to 2% or less, while listing agents often get a bit larger percentage of the commission pie at around 3%.

More and more listing agents are keeping all of the commission, offering to share nothing with the buyer’s agent.

This is all ok news for home sellers, but deadly for the careers of traditional real estate agents.   |   VIDEO

Entar Real Estate

The solution for the industry calls for real estate agents to provide more value using the latest technologies along with improved customer service to guarantee home sellers that their home will be sold at a price acceptable to them or the agent will buy it.  This proposal has proven to be the most cost-effective for Downtown Los Angeles condo sellers, getting the urban home sellers more money ($16,760 more on average), a faster sale (44% faster), and a successful sale. The listing agent has a proven system that accomplishes these objectives, reason being that the broker has more than 4,365 buyers in their database looking for a home.

EntarAbout 100 of the best local real estate agents are coming together, combining their best resources to create a new company, called Entar Real Estate. Downtown LA home sellers can take advantage of the newer, more powerful real estate company that guarantees home sellers better results while also guaranteeing to help the real estate agent earn $100,000 more than they made last year.

The new Entar Real Estate official launch date of October 2020 is a while off, but the good news is that the pre-launch is October 2019, and home buyers, sellers, landlords and agents can already get access to many of Entar’s features today from the Corey Chambers Team.  Get free help by getting on the Entar radar — the new Entar Real Estate company interest list. Click the selection that best describes you or your goal:

BUYER   |   SELLER   |   RENTER   |   LANDLORD   |   AGENT


Moving to a bigger space?  Get a free list of lofts over 1,500 Sq Ft.  Fill out the online form:

LOFT & CONDO LISTINGS DOWNTOWN LA [MAP]

  Lofts For Sale     Map Homes For Sale Los Angeles

SEARCH LOFTS FOR SALE Affordable | PopularLuxury
Browse by   Building   |   Neighborhood   |   Size   |   Bedrooms   |   Pets   |   Parking

Some good real estate agents are going broke.
Good real estate agents going broke in the cooling L.A. real estate market.

Copyright © This free information provided courtesy L.A. Loft Blog and Entar.com with information provided by Corey Chambers, Realty Source Inc, BRE#01889449 We are not associated with the homeowner’s association or developer. For more information, contact (213) 880-9910 or visit LAcondoInfo.com  Licensed in California. All information provided is deemed reliable but is not guaranteed and should be independently verified. Properties subject to prior sale or rental. This is not a solicitation if buyer or seller is already under contract with another broker.