Foreclosures in Montgomery County are slowly going down. .
When we first started reporting daily Foreclosures in our blog roll "Foreclosure Of the Day" at the beginning of this year, there was an inventory of nearly 130 foreclosures to choose from . . .I just checked this morning and that number is 92 Active Foreclosures in Montgomery County as of today 09/29/2011
Send me an email Fernando@Herboso.com and I will put a complete list on your email box
Does the drop in foreclosures means we are back into a normal market?
Not hardly. .
We are facing different challenges now.
During an office meeting with my associates it was revealed that there are many condominium associations with possible thousands of condo homeowners that aren't aware that their condos CAN NOT BE SOLD under normal circumstances because financing is NOT POSSIBLE!
Lenders will not touch a loan when there is not an FHA APPROVAL
To give you an example, I went and did a search for a list of APPROVED CONDOS in zip code 20871 Clarksburg MD
I was floored.. in Montgomery County alone there are dozens of condo associations that have expired approvals. .
Meaning that there are no loans for this condos unless they get approved again. .
What are the requirements?
In a nutshell . .
The initial approval requirements regarding investor ownership, percentage of owners in arrears for condominium association fees, pre-sale ratio, owner-occupancy ratio, FHA loan concentration ratio. . .
The most important thing I learned by calling one of the experts in this field Eric Boucher "The Condo Approval Guy"
if 15% or more of the current residents in a condominium are 30 days or more in arrears on their condo fees. . the FHA will not make loans and conventional loans most likely follow suit or charge a higher mortgage interest. .
Either way, the condo-owners are screwed.
Who is at fault?
- Not Obama,
- Not the FHA
- and certainly not your Realtor. .
Is the management company that takes care of all the finances for these condominiums.. Its their fault because they are not being pro-active if their approval has been expired and. . because they are allowing more than 15% of its residents be behind on their payments. . .
They need to take earlier action if they want to preserve the value of their units.
Broker - Solutions Finder
Herboso & Associates llc
My real estate knowledge is always up-to-date. For expertise you can depend on, call me when you have questions about the market or are ready to make a significant move. . .Quality representation is not expensive, its priceless!