Phone:
970.596.3228
Happy 4th of July from sunny Cressted Butte!
I just sold a condo in Mt. Crested Butte yesterday. This brings the total number of condo transactions to 14 sales year to date. There are over 235 listed condos on the market in Mt Crested Butte. The market – to say the least – is very soft. The buyer’s that do exist are in a position to snap up deals. Prices for condos have dipped to pre-Mueller era levels in many cases and those buyers that are willing to navigate today’s condo lending climate will come away with a good deal.
Here are some tips for you if you are thinking about buying.
5 Tips for Crested Butte Ski Condo Buyers
1. The Financing Comes First
Financing issues are responsible for wrecking many deals. Figure out which form of financing works best for you. Remember that pre-approval is the preferred way to go into a deal.
2. Fannie and Freddie May Not Be Friendly
Fannie Mae and Freddie Mac, government-controlled mortgage companies, have their place. As of March 2009, however, they tightened their restrictions on mortgages for condos (new or newly constructed). At present, they will only consider mortgages if 70% of the units have sold or are under contract.
3. Know Everything about the Homeowners Association (HOA)
As people face financial challenges, many are falling behind on association dues. This delinquency forces condo associations to pass on the debt to other condo owners. Fannie Mae won’t purchase mortgages for condos if 15% or more are over 30 days late with payments.
4. Look for the FHA Seal of Approval
A building with the FHA seal of approval can mean a much lower down payment for many buyers. A down payment can be as low as 3.5% of the purchase price of the condo. The mortgage process also moves much faster for condos with FHA approval.
5. Prepare Your Down Payment
Private lenders can require a substantial down payment from condo buyers. Consider your budget and research your options. Seek out condo experts who can find the best deal for you.
Thanks for visiting today!
Channing Boucher
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