Skip to content
Real Estate Deal Analysis & Advice

User Stats

7
Posts
2
Votes
Murali P.
  • Chesterfield, MO
2
Votes |
7
Posts

Seeking advice on a condo unit purchase in Chicago

Murali P.
  • Chesterfield, MO
Posted May 3 2016, 11:50

I recently signed a contract on the purchase of a condo unit in downtown Chicago. It was listed as FHA approved building. It was going to be our second home with our daughter living there. Applied for mortgage, since it was FHA & being second home, we got a very good rate (3.25%) but it turns out it is not eligible for FHA since the builder has rented out more units than the FHA allows. No one knew about this. I can get a portfolio loan but my concern is whether there would be any drawbacks when I look to sell the unit later? If it is not FHA eligible, then is my option only to sell to another investor? Just trying to understand the negatives or am I being overly concerned for nothing... I have the option to pull out of the contract if I choose to, based on this. Advice greatly appreciated. Thanks in advance.

Loading replies...