FHA Condo Approval Specialist: FHA Condo Approvals – Site Condo Case Number Mistakes

FHA Condo Approvals – Site Condo Case Number Mistakes

FHA Condo Approvals – Site Condo Case Number Mistakes

The last item mentioned in HUD’s most recent bulletin is the process for mistakes made when a case number is issued for a site condo that is not technically a “site condo” by HUD’s definition.

I previously wrote an article about how determines the difference between a site condo and a typical condominium project.  HUD does not require that site condo projects go through the approval process.

There has been an increase in case number requests for site condos although the units are located in a project that requires approval or are located in a PUD.

HUD is asking that lenders verify the type of property prior to requesting the case number.

If a case number is errantly assigned as a site condo when the unit is not in a site condo project, lenders and FHA staff cannot make data corrections.  The correction requests must be submitted in writing to the jurisdictional Homeownership Center who will forward to Headquarters to coordinate with the contractor to make the necessary database changes.

That last paragraph is critical!

I am not involved with condominiums on the loan-level side of things, although I am well-versed in the guidelines. But I can only imagine how long it will take for a written request to be processed that has to be sent to Washington DC via the HOC so they can contact the contractor who maintains the database.  My guess would be longer that it took me to type that last run-on sentence.

The bottom line here is to make absolutely certain that the unit is a site condominium before processing the case number assignment.  The only way to do that is to review the legal documents to see if the project qualifies as site condos.

The Condominium Project Approval Team at ReadySetLoan is dedicated to helping condominium projects across the nation to obtain their approvals with FHA and the VA or become recertified with FHA.  We have assisted nearly 200 condominiums and we can help your association.


ReadySetLoan is an active member of the Connecticut and New England chapters of the Community Associations Institute (CAI) and is a frequent contributor to Common Interest Magazine as an expert in FHA/VA condominium project approvals.


Please contact us with any questions regarding FHA or VA condominium project approvals.  You can email me at askeric@readysetloan.com or call me at 404-433-4565. I will be happy to answer any of your questions.


FHA/VA Condo Approval Specialist

404-433-4565 Cell Phone

860-644-3772 Fax Phone

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Comment balloon 0 commentsReadySetLoan Condo Approval Team • July 24 2013 08:17AM