Give Realtors a practical understanding of condo financing and the project issues that can affect Conventional, FHA and VA loan eligibility, with special attention to South Bay properties, balconies, HOA requirements, insurance, and project condition.

1. Why Condo Financing Is Different

• Financing the borrower and reviewing the condominium project
• Why a well-qualified buyer can still have a condo financing problem
• Warrantable vs. non-warrantable condos
• What Realtors should investigate before writing or accepting an offer

2. Conventional Condo Financing — Fannie Mae & Freddie Mac

• Limited review vs. full project review
• Owner occupancy and investment concentration
• HOA financials and reserves
• HOA delinquency issues
• Master insurance requirements
• Special assessments
• Pending litigation
• Commercial space and mixed-use projects
• Investor concentration
• New construction vs. established projects

3. Balconies, Decks & Structural Issues

• California balcony/elevated-element inspections
• What happens when an HOA inspection identifies required repairs
• Deferred maintenance and structural safety
• Engineering reports
• Special assessments used to fund repairs
• When repairs can affect Fannie/Freddie eligibility
• Documents a lender may request
• Why agents should investigate these issues before escrow

4. FHA Financing for Condos

• Checking whether a project is already FHA approved
• What happens when it isn’t
• FHA Single-Unit Approval (SUA)
• HUD Form 9991
• Basic SUA eligibility requirements
• FHA concentration limits
• Owner occupancy
• HOA delinquencies
• Budget/reserve review
• Insurance
• Special assessments and litigation
• How to finance one FHA condo without obtaining FHA approval for the entire project

5. VA Condo Financing

• How VA condo approval differs from FHA
• Checking VA project status
• What happens when a project isn’t VA approved
• Getting a condominium project submitted for VA approval
• Real-world South Bay/Redondo Beach example

6. Insurance — The Growing Condo Financing Problem

• HOA master policy
• Individual HO-6 coverage
• Deductibles
• Replacement-cost coverage
• Flood insurance when applicable
• What happens when the HOA’s insurance doesn’t satisfy lender requirements

7. The HOA Questionnaire

• What lenders are actually looking for
• Documents the HOA/property manager provides
• Red flags that can stop financing
• Why getting the questionnaire early matters

8. The Realtor’s Pre-Offer Condo Checklist
   Before writing the offer:

• Conventional, FHA or VA?
• Is FHA/VA approval already in place?
• Any balcony or structural inspections?
• Outstanding repairs?
• Special assessments?
• Litigation?
• Insurance problems?
• HOA financial/reserve concerns?
• Any known financing problems with recent sales in the complex?

9. When the Condo Doesn’t Qualify

• Conventional alternatives
• Non-warrantable condo financing
• Portfolio lending
• Larger down-payment options
• When the problem can be corrected
• When changing lenders won’t solve the underlying project problem

10. Real South Bay Deal Scenarios + Q&A

• FHA buyer / non-FHA-approved building
• VA buyer / non-VA-approved project
• Balcony inspection with required repairs
• HOA special assessment
• Insurance deficiency
• Conventional buyer in a non-warrantable project
• How the lender and Realtor can identify the problem before it costs the transaction