9/27/24 – 10 new naughty condos – Some important things to remember Today, I want to share a few things we must remember while working in the real estate business. Appraisal waivers can still happen, but the buyer needs to put at least 20% down, and the purchase price needs to be under $1,000,000. If the price is over that number, and you try to put in the value at $999,999, you may get an appraisal waiver, but the loan will get kicked out by your underwriter or the agencies! So, if you have a listing and the price is over $1,000,000, and the lender said he received an appraisal waiver, then you know there is an issue! A detached condo has the same interest rates as a Single Family Home. A detached condo does not need FHA approval to do an FHA loan. You need VA approval to take a VA loan on a detached condo! An attached PUD like a Single-Family residence! You do not need FHA or VA approval for either loan. A Reverse Mortgage on a Condo or Townhouse needs FHA approval if we are doing an FHA Reverse Mortgage, but there are other types of Reverse Mortgages where we will not require FHA approval. Health and safety issues can get called out no matter what loan a borrower gets! When agents say, “This property can’t go FHA!” I usually ask what the issues are, and 90% of the time it won’t go conventional either! If you hide health and safety issues from your MLS listing, you can get an appraisal waiver on the sale of that property! It looks like this Blog came full circle! I am available all weekend if you need anything. Let me know if you have any questions or if someone is interested in buying a property! My cell is 661-714-6258, and my office line is 661-260-2970 ext. 2222. My direct line is 661-291-2222. When you text me, please text (661-714-6258) or email me at Mike@AugustaFinancial.com. But wait, there’s more! Interest rates are struggling a bit this week, but they are still at good levels compared to where we were just a short while ago! Rates ended flat today! 12-day escrows if your buyer is pre-approved - Conventional / FHA / Jumbo / Bridge We do loans in all states, so call me with anything you need. Government Loans (FHA / VA/ USDA) are in the high 4’s to low 5’s Conventional Loans up to $766,550.00 are in the high 5’s to low 6’s High Balance Loans $766,550.01 – $ 1,149,825.00 are in the low to mid 6’s Jumbo loans above $1,149,625 are in the mid to high 6’s Bank statement loans - They are available with 10% down again! Starting in the mid-6’s. Profit and Loss Statement loans – 20% down – You don’t need bank statements, just a profit and loss statement! No income qualifier – 40% down with r serves! In the 8’s! 0 down loans are in the high 6’s – 620 credit score min right now, up to $1,191,000.00. Private Money lenders - Hard Money Loans – 35% down! No Ratio Loans 30% down DSCR – Debt Service Coverage loans with as little as 15% down Bridge Loans - typically 7.99% with limited fees – and they get you where you need to go! 3/2/1 Buydowns 2/1 Buydowns and 1/0 Buydowns are available at great start rates! Interest rates are subject to change without notice! The above are LA County Loan Limits. Good news on Condos – I will move this section to my website next week! It’s just getting too long! Any changes will still be posted here! Bad news – Condo Update? – Straight from Fannies list - 15 new ones – Royal Vista Court – 10290 Tujunga Cyn Blvd – This project’s HOA receives >10% of its budgeted income from the active ownership and/or operation of non-incidental amenities or services made available to unit owners and the general public. Acacia Village Homeowners Association – 147 W Acacia Ave, Glendale, CA 91204 – This project needs critical repairs and may have conditions such as material deficiencies and significant deferred maintenance. Penn Court Homeowners Association, Inc. – 4201 Pennsylvania Ave, La Crescenta, CA 91214. This project’s HOA or co-op corporation (or project sponsor or developer) is a named party to pending litigation related to the project’s safety, structural soundness, habitability, or functional use. Oak Park Calabasas – 4752 Park Granada, Calabasas CA 91302- This project’s master insurance policy deductible exceeds the allowable limit in Selling Guide Sec. Independence Hall – 8801 Independence Ave, Canoga Park, CA 91304 – This project needs critical repairs and may have material deficiencies and significant deferred maintenance. This project has unfunded repairs costing more than $10,000 per unit that should be undertaken within the next 12 months (does not include repairs made by the unit owner or repairs funded through a special assessment). Lindley Park Plaza 5500 Lindley Ave Unit 111, Encino CA 91316 – This project needs critical repairs and may have material deficiencies and significant deferred maintenance. See Selling Guide Sec. B4-2.1-03, Ineligible Projects. The units in this project are subject to a current or planned special assessment intended to cover the cost of critical repairs, and all necessary repairs have not been fully completed. Aldea Community Association – 11318 Paseo El Sol, Porter Ranch CA 91326 – This project’s HOA or co-op corporation (or project sponsor or developer) is a named party to pending litigation that relates to the safety, structural soundness, habitability or functional use of the project. See Selling Guide Sec. B4-2.1-03, Ineligible Projects. The Greens At Cascades Hoa 16431 W Nicklaus Dr, Sylmar CA 91342 -This project’s master insurance policy coverage does not meet the requirements. Tara Village Homeowners Association – 18350 Hatteras St, Tarzana CA 91356 – This project’s master insurance policy coverage does not meet the requirements. Villa Valencia Homeowners Association – 6226 Nite Avenue, Woodland Hills CA 91367 – This project’s HOA or co-op corporation (or project sponsor or developer) is a named party to pending litigation that does not meet the “minor matter” definition. Warner West Condominium Association, Inc. – 22100 Burbank Blvd, Woodland Hills CA 91367 This project’s master insurance policy does not comply with Selling Guide. Casa Marbella 13951 Sherman Way, Van Nuys CA 91405 – The number of units in this project that are owned by one or more single entities exceeds the maximum allowed. Heathercliff Manor Hoa – 15946 Vanowen Street, Van Nuys CA 91406 – This project needs critical repairs and may have material deficiencies and significant deferred maintenance. Sand Hill Condominiums Homeowners Association – 8221 Langdon Ave Van Nuys – This project’s master insurance policy coverage does not meet the requirements in Selling Guide. Tolucan Villas – 10740 Moorpark St, North Hollywood CA 91602 – The number of units in this project that are owned by one or more single entities exceeds the maximum allowed under Selling Guide. Condo / Townhome – issues we know of now. Properties can be financed with 10% down and are considered NON-WARRANTABLE: American Beauty Condos - The brown ones - Insurance: 50 Million in coverage for 748 units is not nearly enough! American Beauty Gardens: 19% delinquency on special assessments due. 19% are 60 days or more late! We can do with 5% down, but others can’t! American Beauty Village West: On Fannie s List. Per Fannie, this project needs critical repairs and may have material deficiencies and significant deferred main entrance conditions. This project’s master insurance policy deductible exceeds the allowable limit. Bella Ventana – $50,000 deductible per unit is naughty. Bouquet Canyon Village – $50K deductible per unit is naughty! Briarcliff North Townhomes –7435 Shadyglade Ave #2, North Hollywood. This project’s master insurance policy deductible exceeds the allowable limit. Briarcrest – 12720 Burbank Blvd Valley Village – Insurance and repairs Bridgewater, Emeryville - On Fannie’s List! Insufficient Insurance Brookside Walk – Insufficient Insurance Cabrini Villas, Burbank - On Fannie’s List! Insufficient Insurance Calla and Rowan – 27513 Illumination – Fannie Mae Approval expired – New Construction. See Blog on 5/7/2024 Cameo Woods HOA - Per the litigation disclosure, the association is being sued by a homeowner for water heater damage and discrimination, and the damage is still ongoing. We received confirmation that the HOA’s insurance agency is not covering the lawsuit, and the claim was denied due to the nature of the complaint. Canyon Village – Reserves and 10% of the dues not going to reserves! Canyon Oaks – Insurance On Fannie’s List! Casa Marabella – 13951 Sherman Way, Van Nuys -On Fannie’s List! Cassia and Jasmine – 26949 Winding Trail Court – Fannie Mae Approval expired. See Blog on 5/7/2024 Cimmaron Oaks – Castaic – Insurance is too low! Cornerstone – Insurance -On Fannie’s List! Creekside – Insufficient insurance District Community Association – Northridge – Fannie Denied – Insufficient Insurance Encino Oaks – 5460 White Oak Ave – On Fannie’s List! Heather Ridge – Deductible too high! not enough insurance – Fannie Naughty List! Liberty Canyon HOA – 27409 Country Glen Road, Agoura Hills, CA- On Fannie’s List! Madison at Towne Center – Litigation – We can do with 5% down, but others can’t! Magnolia Manor – 12416 Magnolia – Lots of issues from insurance to repairs. Mariposa: On Fannies List. Per Fannie Mae – This project’s master insurance policy coverage does not meet the requirements. Market Street Community – Corona – No Wildfire coverage Mesa Vista North Townhomes – San Juan Capistrano – 50K deductible per unit is naughty! Orchid at Valencia – 27033 Open Sky Place – Fannie Mae Approval expired. See Blog on 5/7/2024 Penn Court HOA – 4201 Pennsylvania Ave La Crescenta On Fannie’s List! Princessa Estates – insufficient reserves Scenic Hills – Insurance – On Fannie’s list! This project’s master insurance policy coverage does not meet the requirements in Selling Gu de Sec. B7-3-03, Master Property Insurance Requirements for Project Developments. Shadow Ridge – Oak Park – Insurance -On Fannie’s List! Sherman Way Condos – 17900 Sherman Way Reseda – The number of units in this project owned by one or more single entities exceeds the maximum allowed. Tyler Villas – Sylmar – Coverage is good, but non-warrantable for delinquencies The District Community Association – 19533 Cardigan Dr, Northridge – On Fannie’s List! Treana - Stevenson Ranch: On Fannie’s List! Per Fannie, this project needs critical repairs and may have conditions such as material deficiencies and significant deferred maintenance. Valle Di Oro is on Fannie’s List! Per Fannie Mae, this project contains timeshare, fractional, segmented, or split ownership units or other arrangements (such as mandatory rental pooling, shared interest apartments, or community apartments) restricting the unit owner’s ability to occupy the unit. Village Park Condo – It’s over the max deductible with that 50k per unit. Vista Del Canon – Insurance is too low, UGH! Walnut Gardens II – 7320 Lennox Ave Van Nuys CA – On Fannie’s List! Warner Center Condos – 5515 Canoga Ave, Woodland Hills, CA –This project’s master insurance policy coverage does not meet the requirements. West Creek Condos and Townhomes: On Fannie s List. Per Fannie, this project’s master insurance policy coverage does not meet the requirements in the Selling Guide! Hoyt Village LLC – 26 units and 14 are owned by one entity! –13801 Hoyt St, Pacoima CA 91331- The number of units in this project owned by one or more single entities exceeds the maximum allowed under Selling Guide. More than 15% of the units in this project are 60 days or more past due on their HOA fees/common expense assessments. The number of units in this project owned by one or more single entities exceeds the maximum allowed. Please let me know if you hear anything new on condos or townhouses. I am still available all weekend if you need anything. Let me know if you have any questions or if someone is interested in buying a property! My cell is 661-714-6258, and my office line is 661-260-2970 ext. 2222. My direct line is 661-291-2222. When you text me, please text (661-714-6258) or email me at Mike@AugustaFinancial.com. Have a great day and an even better tomorrow! Please call me when you have a client who needs to borrow! Mike Meena President | Loan Officer Click to Call or Text: (661) 714-6258 This entry has 0 replies Comments are closed.
