Buy a Codo - Loan, Mortgage & Financing Options
Rising in popularity as early as the 1980s, the condominium, or condo is one of the newest forms of home ownership. And like any home ownership, a mortgage on a condo has its own individual advantages and disadvantages. Learn more about condos and how US Mortgages can help you purchase a condo in Colorado.
What is a condominium?
In the most basic sense, condos are very similar to apartments, though they're built to a much higher standard than most apartment buildings. Before your condo purchase, you should know that people who buy a condo share common areas like elevators, hallways and parking. However, condos are exclusively available to homeowners who purchase the unit, whereas apartments are often available only on a rental basis. Decisions are made about the common spaces that affect all tenants via meetings and many condos feature a governing board that condo owners can attend and voice their opinions at.
US Mortgages can help perspective home buyers purchase a condo!
Condominium standards make qualifying for a condo loan difficult. Dissimilar to traditional loans where banks simply compare the borrower's finances and the value of the property, condo loans also require the condo association to meet certain standards to qualify. If the lender determines that the condo is not up to standard, the borrower can be denied for a loan, despite having perfectly fine credit.
Condo loans are known to have higher costs than standard real estate. In fact, when buying a condo loan, the Federal Housing Administration, or FHA, will likely turn away applicants who show financial insecurities. US Mortgages will take pride in leading you through your Denver condo financing experience. When financing a condo, remember that it is like financing a home, in the sense that you receive a condo mortgage with your condo.
What are the advantages and disadvantages of your condo purchase?
The lack of exterior maintenance is a good option for those with active lifestyles who prefer to fill their time with less yard work and more interior lounging. Many condos are built as luxury facilities and contain everything from saunas to coffee shops all within the building. The disadvantage is that the cost per square foot can be considerably higher than other forms of home ownership, making condo financing difficult. Contact US Mortgages to learn more about the condo loans we offer to facilitate condominium ownership. Once you provide us your contact information online, we'll be in touch ASAP. Want faster answers? Give us a call!