Condos Receive FHA Approval

Condos Receive FHA Approval JACKSONVILLE BEACH, FL - Ocean's Edge, the beachside community of condominium homes in south Jacksonville Beach, has received Federal Housing Administration (FHA) project approval, making it possible for qualified buyers at the community to obtain low down payment, fixed rate mortgages at competitive rates.

"To receive FHA approval, Ocean's Edge was thoroughly vetted to prove the community is physically and financially strong, therefore qualifying it for federally-insured mortgages," said Holly Rasmussen, sales and marketing vice president for Condo Capital Solutions LLC, the owner of Ocean's Edge. "In today's market, there are many condominium communities that do not have FHA approval, which makes it very difficult in the current lending climate for buyers to finance the purchase of a condominium home."

To receive FHA approval, Ocean's Edge satisfied multiple criteria for the Federal Housing Administration, said Vikki Robbins, partner of Pace Builder Services, a locally owned real estate company responsible for sales and marketing at the community. Robbins and her business partner, Vicki Bratvold, began managing sales and marketing at Ocean's Edge after the community came under new ownership in September 2009.

The various stages for FHA approval included proving that the condominium association is financially healthy through an independent audit of the association budget. Ocean's Edge also had to prove the community is primarily comprised of owner-occupants and second homeowners rather than investors and that the construction of the buildings is up to FHA standards.

"One of the most important considerations that FHA looks at is proof that primary and second-home purchasers are purchasing at Ocean's Edge because owner-occupied condominium communities tend to enjoy more stable property values than investor-owned communities," Robbins said. "They also scrutinize the association's financials to determine that there are adequate funds available for current and future repairs and maintenance in the community. The last step in the FHA approval process for Ocean's Edge was proving that renovations completed at Ocean's Edge in 2006 were up to stringent building codes and were extensive enough to qualify them as 'new' construction by FHA standards. Ocean's Edge passed all three criteria with flying colors."
Source: Ocean's Edge

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