Rusty Bradshaw | Your West Valley
Some homebuyers in the Sun Cities are no longer facing an obstacle to obtaining a loan created by a conflict between FHA and rec centers’ policies regarding preservation fees.
A U.S. Housing and Urban Development ban on FHA loans was lifted, opening the door for such loans to go forward if all other requirements are met. While the ban was lifted some time in April, according to Stephanie Smelnick, FHA/HUD Arizona field office director, few people knew of the action until last week. Greg Eisert, Sun City Home Owners Association board member and Governmental Affairs Committee chairman, told the SCHOA board during its June 27 meeting, he had recently talked to Ms. Smelnick who told him of the HUD action to lift the ban. Residents have also asked Recreation Centers of Sun City board members in their subsequent meetings since January about the status of the situation, only to be told RCSC was in communication with HUD officials to resolve the problem.
However, the ban lifted was strictly for condo sales, Ms. Smelnick added.
“Our policy was reviewed by headquarters,” Ms. Smelnick said. “If you have a condo with a rec fee, as long as that fee benefits residents in that area, loans will be approved.”
