FHA Condominium Expiration Dates Extended!
FHA Condominium Expiration Dates Extended
Anybody trying to buy or sell a condo has been confronted with new regulations that have delayed and sometimes even halted the transaction. By extending dates for expiration dates of FHA Approved lists, transactions will go smoother.
Hopefully for those with close expiration dates the new lists will be done quickly which should not hinder a transaction already in process or a unit that will go into the MLS as a potential sale after the New Year.
To comment, pop over to George Souto's blog and let him know.
FHA must be hearing the outcry because this week FHA Condominium Expiration Dates Were Extended. This is a much needed and positive move on the part of FHA in my opinion.
The reality of what was going to happen once Condominium Complexes started to come off the FHA Approved Condo List did not begin to hit home until the dead line was upon us, and Condo's that had been FHA Approved no longer were. Condominium Owners that were trying to sell their Condo's were not happy with their Condo Management Firms that they had not Re-Certified the Complex, and now the number of possible Buyers for their Condo had be slashed.
Even though FHA has extended the expiration dates, they have only done so for a short time, and there is no indication that they will consider doing this again. Below are the extension dates based on five-year time periods. Notice that Condominium Complexes with original approval dates from 1972 -1985 are only being extend to the end of the year.
Initial Project Approval Dates Current Expiration Date New Expiration Date
1972 - 1980 December 7, 2010 December 31, 2010
1981 - 1985 December 7, 2010 December 31, 2010
1986 - 1990 December 7, 2010 May 31, 2011
1991 - 1995 December 7, 2010 July 31, 2011
1996 - 2000 December 7, 2010 August 31, 2011
2001 - 2005 December 7, 2010 September 30, 2011
2006 - 2008 (Sept) December 7, 2010 March 31, 2011
A large part of the reason why FHA was so willing to extend the dates was because of their own work load. FHA was beginning to see a substantial increase of requests for Certification and Re-Certification and they needed the extension to ease their work load. Lenders and/or other interested parties are encouraged to begin the approval or re-certification process as early as possible so as to not run up against this deadline crunch again. As I stated earlier, another extension is unlikely.
The new updated dates were posted on the FHA Connection databases on December 7, 2010. The links are:
Condominium look-up page: https://entp.hud.gov/idapp/html/condlook.cfm
FHA Connection: https://entp.hud.gov/clas/index.cfm
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Info about the author:
George Souto is a Loan Officer who can assist you with all your FHA, CHFA, and Conventional mortgage needs in Connecticut. George resides in Middlesex County which includes Middletown, Middlefield, Durham, Cromwell, Portland, Higganum, Haddam, East Haddam, Chester, Deep River, and Essex. George can be contacted at (860) 573-1308, gsouto@mccuemortgage.com, or visit my McCue Mortgage Homepage.
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