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Condo Insurance
For conventional loans, both Fannie Mae and Freddie Mac require condos to have specific coverages included in their master insurance policy to approve the condo project for financing. Both Full Review and Limited Review methods require the following coverages and endorsement requirements: Building coverage must document Replacement Cost Coverage, Extended Replacement Cost, or Guaranteed Replacement Cost Coverage (Any of…
Read MoreCondo Approval
When using conventional financing to purchase a condo, we’ll need to review the condo and verify it meets Fannie Mae and Freddie Mac’s guidelines. Depending on the down payment, residency, and type of condo, the condo review may be a 2-4 Unit Review(https://alexjaffe.com/2-4-units/), a Limited Review, or a Full Review. Here are the types of…
Read MoreCondos
If a buyer is financing a condominium or a property in a homeowner’s association, we are required to determine if the association meets the standards of Fannie Mae or Freddie Mac. The primary difference between the two types of ownership are that in a condominium, together the members of the association own the land collectively.…
Read MoreGaithersburg Homebuyer Assistance Loan Program
The city of Gaithersburg provides down payment and closing cost assistance for purchasers in the amount of $12,000 (blue areas) or $25,000 (yellow areas). You will repay the assistance without any interest due. You may finance this loan alongside an FHA or Conventional or VA loan program. The minimum credit score is 620 for all…
Read MoreSeller Credits
In addition to the down payment, a buyer will pay closing costs in connection with their purchase. If the combined amount of cash required is more than a buyer is comfortable with, then they may attempt to negotiate a seller credit for some or all of the closing costs. For example: a sales price of $400,000…
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