If you are seeking an FHA mortgage but have been viewing condos, you should know that not all condos meet FHA approval. If you are a current condo resident and are seeking an FHA refinance or reverse mortgage, you may want to check with your board to see if their FHA approval status is still relevant, or that there is an FHA approval to begin with. There are many benefits to living in an FHA approved condo, and this article highlights those reasons.
There are many requirements in order for a condo board to keep an FHA approval status. There can’t be any more than 50% of the condos that aren’t owner-occupied, for one. Having the condo covered by hazard, flood, and liability insurance required by state or local condominium laws is also a requirement for FHA. If your condo is FHA approved, you will have any easier time in the resale.