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Can HUD loans be used for townhouses?

How do I find out if the townhouse community my wife and I are looking into is approved for a HUD purchase? by hahiss733 from Marrero, Louisiana. May 8th 2019 Reply

William J Acres (William_Acres)
#73 ranked lender in Arizona - 8,728 contributions

If it's truly a townhouse, then you can use all types of conforming financing,, FHA, VA, Conventional.. However, if it's a Condo, but listed as a "Townhouse".. then it could be a problem... A townhouse is nothing more than a single family home but the lot is smaller and sometimes there might be several units that have common walls, but when you own a townhouse, you also own the footprint of land the home sits on.. However, with a condo, you do not own the dirt,, only the "Walls-In".. FHA will only do projects that are approved by FHA.. do a google search for "Approved FHA condo search".. you should get to HUD"s website were you can look up the project.. I'm a preferred Lender with California and Arizona being my primary markets. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 NMLS# 226347 / LendUS, NMLS 1938/ AZMB0121893

May 8th 2019
Joe Metzler (JoeMetzler)
#1 ranked lender in Minnesota - 4,457 contributions

There is no such thing as a HUD loan. HUD is the parent of FHA, and if someone with an FHA loan goes into foreclosure, then the foreclosure for sale is called a HUD home. So guessing you mean an FHA loan. Any regular mortgage loan can be used to buy a townhouse, including an FHA loan. We don't treat a townhouse any different than a single family home. A condo on the other hand can come with certain restrictions too numerous to list here. Many properties that look like townhomes are legally condo's. Talk to your local mortgage broker for more information specific to you. For loans in MN, WI, and SD, visit me at or call (651) 552-3681 NMLS274132

May 10th 2019
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