Mortgage Insurance Purchase of Units in Condominiums
Program Funding
Annual program obligations reported to SAM.gov.
Program Objective
To enable individuals and families to purchase or refinance eligible units in condominium projects.
Eligibility
Eligible Applicants
- Nonprofit Organization
- Homeowner
All legal residents are eligible to apply.
How to Apply
Award Procedure
An FHA-approved lender underwrites and approves or rejects the loan application.
Decision Timeline
- Approval: From 15 to 30 days
Varies.
Program details & compliance
Description
Provides insurance to HUD approved lending institutions for mortgages secured by units in a condominium project made for purchase or refinance.
Mission Categories
Primary: Property and Mortgage Insurance
Use of Funds
Allowed Uses
HUD insures mortgagees against loss on FHA-insured mortgages. These mortgages may be used to finance the acquisition of or refinance individual units in FHA-approved completed condominium projects containing two or more units. The maximum insurable loan for an occupant mortgagor is the same as Section 203(b) – Program 14.117.
Required Documentation
Eligible unit must be in an FHA-approved condominium project or meet separate requirements for approval. Documentation regarding the function and characteristics of the property and the qualifications of the mortgagor are assembled by the mortgagee and submitted with the loan package.
Lenders must be approved by FHA to participate in this program.