Salt Lake Condos and Condominium projects are getting tougher to finance and are sure to get even tougher. It's not just Salt Lake, it's all over the country.

Since last weeks post on home sales in Murray, Midvale and Taylorsville Utah showed that almost 50% of the homes for sale and homes sold were condos , I thought I'd give you a "heads up".

The giant mortgage Investors, Fannie Mae and Freddie Mac are changing underwriting standards. Actually they are going back to the way condo loans used to be looked at. They are making the property qualify, as well as the home buyer.

The Items that will be evaluated about a Condominium project are:

          Are more than 30% of the condos Investor owned?

          Is the Condo budget adequate and realistic?

          What percent of owners are late on their HOA payments?

          Is at least 10% of the budget reserved for capital expense and deferred maintenance?  

Most of you know that these are not NEW criteria. They are just old common sense guidelines that weren't enforced. Over the last few years mortgage lenders have become a little soft and purchasing a home a lot easier. Well buying a Condo is going to get tougher.

Nothings changed for us. If you have been part of our blog for very long you will recognize that as Realtors, we have insisted that our clients address every one of these issues when buying a condo. These items were always a part of our due diligence.

If you are thinking of buying a Condo in Salt Lake, make sure your Realtor understands that a Condominium is more than "sticks and bricks". A condominium project is a bundle of rules and by laws, of neighborhood behaviors, conditions to live with, & covenants and restrictions that you need to be aware of .Make sure your Realtor knows the questions to ask to guarantee your lifestyle and protect your investment.. Make sure they know how to find the answers.

If you don't have an agent, take a look at us. You can tell a lot about how we do the Real Estate business by stopping by our web site at Salt Lake Real Estate.

If you would like to see all of the condos or homes for sale in the Salt Lake Valley, click on Salt Lake Homes and access thousands of condos and homes for sale, with pictures, addresses, prices, and important information. We update daily, it's FREE, and there is no registration. Bookmark the site and come back often.

You might want to call us before Salt Lake Condos get tough to finance.