The federal government may soon come to the rescue of stalled luxury condominiums in Manhattan.
Manhattan luxury condominiums known for posh amenities and high price tags are beginning to apply for Federal Housing Administration backing.
Condominium developers hope to open financing opportunities for their purchasers as well as guarantee a little protection for themselves. Not only will lending institutions be more willing to lend to purchasers with FHA backing, but the FHA will pay the mortgage should a home buyer default.
The FHA loosened the condo rules because of “market conditions,” Lemar Wooley, an agency spokesman told Bloomberg.com
The U.S. Department of Housing and Urban Development relaxed its financing rules in December, allowing the FHA to insure loans on new developments where only 30 percent of the rental units are in contract instead of 50 percent.
“Something has to happen for this product to be marketable,” Jonathan Miller said. “I just find the whole thing ironic that FHA is providing financing for luxury housing.”
Yeah, really. What happened to the free market?
Friday, August 20, 2010
Luxury condos getting FHA help
Posted by Queens Crapper at 1:06 AM
Labels: fha, financing, Housing and Urban Development, luxury condos, manhattan
this is just wrong
if you can afford to buy a 500k plus condo you do not need fha assistance
Thank goodness!!! Now if I can just get a bank to allow me to buy a deserving $1.5mm condo with out any down payment and forget about those pesky applications that make my fingers hurt, things will be peachy.
What a joke. Another bailout to the rich with our tax money. When is this going to end?
When we are a third world country owned by China - that's when.
n.y.c.liberal government has to keep the high taxpaying
business sector around to pay for the 50 % that are freeloaders.
the condo owners will all be from that special political party, no doubt ?
you know who made this decision in D.C.,don't you?
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