Condo developers get into lending game

TRD New York /
Feb.February 19, 2010 05:33 PM

From the South Florida Web site: With mortgages hard to come by, some developers are lending the money to buyers themselves in order to sell units.
“It just reflects the fact that it’s not easy to get financing for a condo unit,” said Guy Cecala, CEO and publisher of the Maryland-based Inside Mortgage Finance Publications, a group of industry newsletters. “They’re the black sheep of the mortgage market.”
That’s especially true in South Florida where it’s ground zero for the condo market crash, he said. Since the peak of the boom years in 2006, condo prices have dropped around 50 percent, according to real estate tracking company Zillow.com.
So condo projects like the Luxuria in Boca Raton, 1200 Hillsboro Mile, which is just south of Boca Raton in Hillsboro Beach, and the 1800 Club in Miami, a 42-story luxury condo in the Miami Performing Arts District, are finding alternatives to the traditional mortgage market.


Related Articles

arrow_forward_ios
Zillow CEO Spencer Rascoff is stepping down as his co-founder takes over

Zillow CEO Spencer Rascoff is stepping down as his co-founder takes over

Placeholder image

Zillow to pay $50M for StreetEasy

Refinancings spur mortgages to record high

The mortgage industry is booming

Some investors continue to find U.S. commercial real estate as attractive places to park their capital (Credit: iStock)

Brexits and Bubbles: How investors view Europe’s shaky real estate market

The bank is accused of systematically trying to foreclose on mortgages after the state’s six-year statute of limitations had passed. (Credit: iStock)

BNY Mellon faces suit over foreclosures from the housing crash

Seattle, Washington (Credit: iStock)

Good luck buying an affordable home in these US cities

This just in: Zillow co-founder launches LA-focused tech industry news site

This just in: Zillow co-founder launches LA-focused tech industry news site

They’re just like us! “Billionaire” manse buyer takes out $58M mortgage

They’re just like us! “Billionaire” manse buyer takes out $58M mortgage

arrow_forward_ios
Loading...