Powered by Edge Home Finance, LLCProperty taxes, HOA dues, condo assessments and required flood insurance can change the true monthly housing cost and the amount a lender determines you can qualify for.
Regular homeowners association dues are generally part of the monthly housing expense lenders evaluate. Even when paid quarterly or annually, they are often converted to a monthly equivalent. The lender uses applicable program rules to calculate your debt-to-income ratio, so higher dues may reduce available room for mortgage payments.
Condominium association dues typically contribute to the qualifying housing expense. Special assessments, the association’s financial health, insurance coverage, litigation or building repairs can also affect project eligibility and the loan review. Ask for current dues, approved budgets, recent meeting notes and information about pending assessments early.
If a property is in a Special Flood Hazard Area and the mortgage is federally regulated or insured, flood coverage may be required. The premium depends on property-specific factors and insurer quotes. Other locations may also have flood risk and insurance needs. Include the best available quote in your affordability planning rather than assuming a standard premium.
When you have a property in mind, Sam can look up the latest available property tax information and include it with the HOA or condo dues, homeowners insurance and any applicable flood insurance estimate to build a more realistic payment scenario.
Email or text Sam to schedule a call. Include a convenient time and whether you prefer a phone or video meeting.