Congressman Perlmutter Weighs in On Onerous FHA Certification Requirements!
Yesterday our own Congressman from Colorado, Ed Perlmutter (D, 7th District), sent an outstanding letter to Carol Galante (Acting Federal Housing Commissioner and Assistant Secretary for Housing with HUD) addressing some very real problems with the current FHA certification requirements. Congressman Perlmutter called on Acting Commissioner Galante to revisit the FHA certification requirements relating to:
" ● No more than 15 percent of the units in a development may be 30 days or more delinquent on their association assessments, including REO
● Extending the certification approval beyond two years
● Clarifying the mandatory association legal certification and lowering the penalty below $1 million and 30 years in prison
● Denial of FHA-insured loan for units in buildings with more than 25 percent commercial space
● Requiring an owner occupancy rate of 50 percent, including REO."
CAI's Colorado Legislative Action Committee ("CLAC") met with the Congressman earlier this year to discuss our concerns that the current FHA certification requirements are making it extremely difficult for condomiminium associations to obtain project approval from HUD which has chilled the sale of condominium units in Colorado. CLAC's ongoing efforts were assisted by communications to the Congressman's staff by Aaron Acker, the HOA Information Officer for Colorado.
As a member of the powerful House Financial Services Committee, Congressman Perlmutter's call on Acting Commissioner Galante to act will be extremely helpful in CAI's efforts to make FHA certification of condominium projects more reasonably obtainable.
Please join CLAC in thanking Congressman Perlmutter for his outstanding efforts on this matter by emailing him with your thanks!