The condo experience can be frustrating for buyers, sellers and agents.
In the Atlanta MSA, there are 2752 ACTIVE condo & townhome listings in the FMLS. They range in 
price from $5,329,544 to $9,900.
Since the real estate crash of 2008 and the resulting changes in financing, the condo market is still struggling.
The most glaring factor in the condo recovery has been the buyers dwindling ability to employ an FHA mortgage to back the purchase.
FHA has stringent guidelines for approving eligible condo communities, including adequate reserve funds and a strong proportion of owner occupied units vs. rental units.
***Note: just because it LOOKS LIKE A TOWNHOUSE DOESN'T MEAN IT'S NOT A CONDO***
Click here to see the FHA status of Cobb County Condominiums.
You can use the above site to search for FHA approved condos nationwide.
In an effort to effect some stabilizing force, many condo homeowner's associations have instituted their own policies regarding financing by limiting the number of FHA mortgages allowed within the community (not sure if the legality of this has been tested yet, seems off to me) as well as imposing "rent restrictions" on current and in-coming owners.
By imposing these new "rent restrictions", the HOA hopes to preserve the community's FHA status.
For low to moderate income home buyers in the Atlanta MSA, there has not yet emerged a satisfactory alternative to FHA financing for condo purchases.
Conventional financing generally requires a more substantial down payment and mandates a higher credit score than FHA which rarely fits the bill for the traditional condo buyer.
Fannie Mae and Freddie Mac recently introduced a 3% alternative to FHA. The "My Community Mortgage" or MCM is specifically targeted at low to moderate income buyers. But in typical fashion, all that glistens on the outside is less than optimal when you look at the guidelines.
MCM is a conventional loan product and requires private mortgage insurance when financing more than 80% of the purchase price. Rates for private mortgage insurance are based on two factors, down payment amount and the credit score of the buyer.
In making the minimum 3% down payment, the buyer faces the highest rate of private mortgage insurance when coupled with a credit score of less than 640.
Recently, we made a comparison between FHA and MCM for a buyer. The MCM private mortgage insurance was NEARLY DOUBLE that of the FHA mortgage insurance premium.
These financing issues inhibit condo sales and market recovery.
Buying or selling a condo in the Atlanta market is still do-able but it can be challenging.
Having an educated and diligent real estate professional on your team is an important first step,
Cal me today for a free consultation 770-374-4230.
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