FHA Financing Changes

Have you heard about the changes in the FHA Financing guidelines? These changes should make it easier for buyers, especially first time buyers, to purchase a home. Read on to learn how these changes may affect you.

FHA Certification

Obtaining FHA certification is a big task for a condo association. There’s a cost to the association involved, in addition to a mound of paperwork. Not surprisingly, many condos choose not to go through the process. New guidelines extend the certification from 2 years to 3 years. This should ease the burden on the associations to remain FHA certified.

Spot Approvals

Years ago, if a condo complex wasn’t FHA Approved,  “spot approvals” for an individual unit were allowed. This allowed for FHA financing, even though the complex was not FHA approved. This process was discontinued, however, it has bee reinstated. This will allow more buyers to take advantage of FHA financing in condo communities which are not FHA approved.

Investors to Owner Occupants

As a by-product of the housing shortage, many investors are purchasing homes in condo complexes. And they are making these homes rental units. Many condo complexes were denied FHA Financing approval because the ratio of investors to owner occupied units was too high. The recent changes allow for additional flexibility in the ratio of investors to owner-occupants to allow condo complexes to obtain FHA financing approval.

Bottom Line

Although there are other mortgage programs which allow qualified borrowers to purchase homes with down down payments, FHA financing is a better option for many buyers. These changes will allow more buyers to begin taking steps to achieve the American Dream.

When you’re ready to begin the road to the American Dream, call us. Call Bunny and Art Reiman – Realtors. We’ve helped hundreds of families purchase or sell homes in the Freehold area, and many were first time buyers. We would like to help you also.

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Homeowners Association Special Assessment

If you live in a condo, your homeowners association may at some time, make a special assessment.

Any questions?

What’s a Special Assessment

Well, that’s a good question. Each month, when you make your homeowners association payment, a portion of that goes into a reserve fund. This fund is used to pay their bills. But sometimes there’s not enough in the reserve account to make the payments. And that’s where the special assessment comes into the picture.


The HOA has the right, under the bylaws, to make a one time charge to all homeowners when unplanned expenses arise. Here’s an example. Many condo buildings had siding called T-111 installed when the homes were built. This is a plywood product. The biggest drawback is that it needs to be painted regularly. And this is an expense that can be eliminated if the HOA installs vinyl siding. But the money isn’t in the reserve fund to pay for vinyl siding. So, the HOA levies a special assessment to raise the funds needed to pay for the siding. This is a one time fee. Each homeowner pays an equal share of the cost. But in the long run, this will save everyone money, and their HOA fees (Hopefully) won’t go up as much.

Bottom Line

A special assessment will cost everyone, but it’s a necessary expense. The homeowners association needs to pay their bills just like you do.

When you’re ready to either buy or sell a home, call us. We can help you just like we’ve helped hundreds of other families buy and sell homes. Call Bunny and Art Reiman – Realtors.

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Multi Generation Homes

Many years ago, it was common to live in a multi generation home. Parents, grandparents and children would commonly live together in one home. But, over the years, we’ve gotten away from that. The kids want to live on their own. The grandparents want to remain independent. However, are we starting to change our thinking about this?

The Statistics

According to the US Census Bureau, a multi generation family has more than two generations living under the same roof. More than 60 million Americans are living in multi generation homes. That’s more than 20%, and that number is rising. Why?

Many reasons exist. People may be marrying late. the high cost of housing, in-house caregivers. Or immigrants are coming to America (Wow – that sounds like a great movie title) from countries where this is the norm. Children help take care of their parents, while the grandparents help out with the children. Everyone can benefit from this.

But simply putting a lot of people in the same house may not work for all.

The Design

Just having three generations living in a home probably won’t work for most people. Everybody needs their own space, their own living areas and quite possibly, their own kitchens. However, properly designed, this can work for everybody. Having a separate apartment-like area for the grandparents should be strongly considered. Think the old concept of a mother / daughter style home.


This is a good reason to consider such a living arrangement. Everyone chips in to make it more affordable for all. But consider this a side benefit, not the main one.

The Main Benefit

The best benefit, in my opinion, is the help provide care. At some point, the grandparents would benefit from having some help. As we age, there are some things we can no longer do. But the older generation may still be able to drive the grandchildren to all of the places they need to be. This would ease the load on the parents, and both the grandparents and the grandchildren would benefit from being able to spend time together.

Bottom Line

Homes like this do exist. Other homes can be reasonably modified to achieve the proper layout. If something like this is in your future, call us. Call Bunny and Art Reiman – Realtors. Let us help you find your new home.

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