HUD  Mortgagee Letter 2009-19

This letter and requirements will hurt condominium values and make it harder for lenders, appraisers and Real estate agents. It does not allow more than 10% of the units to be owned by one investor/developer or builder. No more than 15% of the units can be in arrears of their HOA payments. Fifty percent of the total units have to be owner occupied. Management companies often charge appraisers for the information. We will no longer do FHA condo appraisals unless the lender provides us with a signed questionnaire. Maybe if financing will dry up for  some of these project the management companies will be more helpful and accommodating.