Recent Changes to Fannie Mae Deliver Good News to Chicago - Chicagoland Condo Buyers

By
Mortgage and Lending with NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656 IL Lic 031.0006220/WI
https://activerain.com/droplet/5dGt
 
Recent Changes to Fannie Mae Deliver
Good News to Chicago - Chicagoland Condo Buyers
 
 
 
No matter your lifestyle, Chicago - Chicagoland ... with its many diverse neighborhoods and extended surrounding suburbs ... has real estate property for sale that will fit and satisfy your personal tastes, budget, lifestyle, and needs ...
 
Property prices may now also be seen as an advantage to buying in the Chicago - Chicagoland area. 
  
While a post-recession recovery has occurred in much of its extended and diverse housing market, the Chicago - Chicagoland area has not experienced the larger property price increases that other metropolitan areas have elsewhere across the U.S.  
 
For those contemplating the purchase of their first home ... or even those selling their present home and buying again ... that's positive news.  Local housing market prices remain more favorable for them to accomplish this in comparison to housing markets elsewhere. 

And now, recent changes and updates made by Fannie Mae (Federal National Mortgage Association) enhance that advantage even more.  June 2018 changes to Fannie's condominium underwriting rules and process are making the prospect of buying a condo in the Chicago - Chicagoland area an even more attractive prospect for buyers ... and possibly simpler.  
 
Please take note if you're an investor:  These changes affect condo purchases made for investment purposes as well.

Prior to the June 2018 changes:  Fannie Mae would not "endorse or warrant"EXISTING (not new) Condo Associations where ONE individual or entity owned 10% or more of the TOTAL Units in the Project.  

With recent changes made:  As of June 2018, Fannie Mae increased that percentage from 10% to 20%.  That increase allows more flexibility to Lenders during the underwriting process and raises the likelihood of mortgage approval for more Buyers.
 
Another new huge and very favorable change regarding condo reviews was placed into effect during this Fannie Mae update ...  

Again, prior to the recent Fannie Mae changes:  Full reviews were required from a Condominium Homeowners Association, at a cost to the Borrower.  (Insurance documentation and proof are also required for presentation during this review time.
 
 
With recent Fannie Mae changes now in place:  Condo buyers placing a down payment of 25% or above are eligible for limited less grueling review during the review process.   
 
This change increases the ability and likelihood of Lenders securing better loan pricing for a condo buyer.  It also decreases the number of possible challenges discovered during the condo review process.

Other recent changes made by Fannie Mae also expand flexibilities, therefore allowing more Condo Projects -Associations to "fit into the mold" for financing purposes.   This increases the likelihood of Borrowers now being capable of securing financing to buy when in the past perhaps they could not.  

Bottom line:  Changes consistently occur within financing and its rules and regulations.  For those that hope to buy ... but have been unable to in the past ... it pays to remain in contact with a Lender.  

Then, should advantageous changes take place, you can reap a more positive outcome upon mortgage inquiry and application.  These recent Fannie Mae changes are a good example of that potential outcome. 

Fannie Mae's changes (as well as those by other GSE) reflect a "loosening" of the past's fairly rigid standards as they pertain to Individual Condo Unit Financing.  That is very welcome and positive news.  

Hopefully, this news serves as an incentive to hopeful buyers to reach out and talk to a Lender regarding their ability to buy ... and also act as a catalyst to boost our local Chicago - Chicagoland housing market, both for buyers and sellers ...
 
 
 
 
* Hoping to Buy or Refinance a Condo or Home in New Lenox, Will County, or elsewhere in the Chicago - Chicagoland area, IL or WI? 

Contact me! 

I'll put my 40+ years of Mortgage experience and expertise hard to work on your behalf. 

I'm easily found at:


Gene Mundt
Mortgage Originator - NMLS #216987 - IL Lic. 031.0006220 - WI Licensed #216987
 
American Portfolio Mortgage Corp.
 
NMLS #175656
 
 
Direct: 815.524.2280
Cell or Text: 708.921.6331
eFax: 815.524.2281
 
 
 
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Gene Mundt

 Mortgage Originator  -  NMLS #216987    

                                 IL Lic. #031.0006220  -  WI License #216987                                                                                                    

NMLS #175656

 

Gene Mundt, Mortgage Originator,  40+ years of #mortgage experience, will offer you exemplary mortgage service and advice when seeking:  #Conventional, #FHA, #VA, #Jumbo, #USDA, and Portfolio Loans in #Chicago and the greater Chicagoland region, including:  The #Lincoln-Way Area, #Will County, (#New Lenox, #Frankfort, #Mokena, #Manhattan, #Joliet, #Shorewood, #Crest Hill, #Plainfield, #Bolingbrook, #Romeoville, #Naperville, #Wilmington, #Peotone, etc.), #DuPage County, the City of Chicago, #Cook County, and elsewhere within IL and Wisconsin. 

 

Your Referrals & Testimonials are Always Greatly Appreciated! 

 

 

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Re-Blogged 1 time:

Re-Blogged By Re-Blogged At
  1. Gabe Sanders 08/24/2018 11:00 PM
Topic:
Lending / Financial
Location:
Illinois Will County New Lenox
Groups:
Mortgages
Chicago Area Real Estate BUZZ!
1st Time Buyers
Bananatude
WillCounty
Tags:
investment properties
condo financing
fanniemae
condo buying
hoas
firsttime home buyers
investment condos
fannie mae changes
fannie mae review changes

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Ambassador
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Kathy Streib
Room Service Home Staging - Delray Beach, FL
Home Stager - Palm Beach County,FL -561-914-6224

Hi Gene- it's so important for buyers to work with a professional like yourself who knows the latest market and the latest lending options. 

Aug 07, 2018 04:55 PM #1
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Hannah Williams
Re/Max Eastern inc. - Philadelphia, PA
Expertise NE Philadelphia & Bucks 215-953-8818

Are thes national Fannie Mae Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi  rules or only for Chicago Land ?

Aug 07, 2018 05:24 PM #2
Ambassador
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Debb Janes EcoBroker and Bernie Stea JD
ViewHomes of Clark County - Nature As Neighbors - Camas, WA
REALTORS® in Clark County, WA

That is great news for those buyers hoping to purchase a condo, and certainly increases the pool of buyers for those selling a condo. Good news for all in your neck of the woods. Wish it was a national ruling. Bummer for us in Washington with the old guildlines. We don't have a huge condo market here, but it is often difficult when trying to get one financed.  THanks for sharing your knowledge, Gene. D

Aug 10, 2018 06:58 AM #3
Rainmaker
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Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

Thanks for the great information, Gene.  This is also good for my local Florida market.

Aug 14, 2018 04:54 AM #4
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