Shut Out by the Restrictive FNMA/FNMLC Condo Financings Rules–Another Option you Can explore

In the course of representing a developer of a 6 Unit Condominium in Boston, I may have uncovered some information that can be helpful to the ActiveRain community. There is a lender out there who will make FNMA type loans (not portfolio) on projects which the lender, itself, certifies to its own satisfaction. This lender does its own “due diligence” and decides whether the project is acceptable.  There are some conditions (of course), the most important of which is that the certification must be while the project is in a “pre-sale” mode.

That means that this lender will not certify older, existing condominiums where the owner-occupancy standards are not met, only newly marketed units. Nonetheless, having a financing source for the many still unsold projects which are really not “saleable” may be worth your while to explore.

For obvious reasons, I prefer not to broadcast the lender in question. If any of my New England readers want to get more details, contact me at etopkins@topbev.com. I am glad to give out the referral; I just am not authorized to broadcast it.

Elliott Topkins

www.topkinsandbevans.com

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