Condo Master Insurance - Loan Approval Issue
Hello BP Team, Mortgage Underwriters/Lenders,
Thank you for information exchange in BP forum.
> Context:
Property: Low Cost Investment property (Condo with HOA) in contract.
Location: Atlanta, GA metro
> Issue:
1. Condo Master Insurance does NOT have full coverage of property structure. (Only about 90% of coverage). HOA is not responsive, and is NOT willing to change to 100% coverage.
2. Loan Underwriters do not approve the loan, because they need 100% coverage in Condo Master insurance.
Underwriters also have rejected the option of Buyer purchasing additional insurance coverage for remaining 10% NOT covered by Condo Master insurance.
3. Both Freddie/Fannie Mae compliant and DSCR loans have rejected the loan.
4. Seller does not wish to go for the option of ‘Seller Financing with possible refinance clause’ in future.
> Query:
1. If you are Lender and already have verified that your Underwriters will allow approving the loan with above dependency, please let me know and I would connect with my loan-officer.
2. Requested Loan Duration: At least 15+ years. Loan Amount: about $60K
3. Please reply by July 2, 2022, if loan approval be possible. I plan to withdraw offer tomorrow.
Thank you in advance.
-A