FHA Spot Approval?

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nsakhi

151 Posts

Posted - 08/04/2008 : 12:41:56 PM

I need to understand how it works as I'm not clear on it. The condo project am I trying to approve is more than 30 units. FHA rule states that only 10% of the project can be approved by FHA. I had the title company assisting me finding out the information as it takes awhile. The results came back more than 10% (it came back at 12% (39 Fha Financed in a 304 unit condo project)).

My question is how did the previous units obtain FHA financing when the rule states not more than 10%? could the information obtain from the Title company outdated? It was obtained through Land Records. Can anyone tell me if they will do exceptions?

Pat

629 Posts

Posted - 08/04/2008 : 12:49:33 PM

no exceptions... I can tell you that someone may have just "made up" the number and turned it in to their U/W to get it approved.

just in kase

489 Posts

Posted - 08/04/2008 : 5:04:45 PM

i agree with Pat.
the crazy thing is when you read the FHA spot approval guideline, the question #14 is pretty cut and dry. however, i have been told by a Santa Ana HOC appraisal that the verication of the units insured is best effort with no clear system. i ask directly, if HUD where to aduit my file what system/documention would HUD use, they have no system and it is Underwriter abilty..

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