FHA Loans and Approval
Basically, FHA loans help make it affordable for higher risk borrowers to purchase homes. By “higher risk” we mean home buyers who have less money to use for a down payment or have lower credit scores than are favorable with conventional lenders. The Federal Housing Administration (FHA) does not issue the loan – rather it insures the loan for other financing institutions. The program opens up homeownership to many people that would otherwise be unable to afford it, including large numbers of first-time home buyers.
FHA Condo List As Of: January 29, 2009
The major benefits of an FHA loan are:
Smaller Down Payment
Easier Credit Qualifications
Lower Monthly Payments
Find out more about mortgage shopping in our mortgage section.
FHA-insured loans require as little as 3.5% down to purchase a property. The smaller down payment is an essential element in making home purchases affordable. This mainly helps buyers who have sufficient income to cover monthly mortgage payments, but don’t have the savings to put down 20 percent for a conventional loan.
Borrowers with flawed credit scores have an easier time getting FHA loans than traditional ones. Even those who have previously filed for bankruptcy can qualify. Because the mortgage is backed by a government agency, lenders do not have to compensate for the possibility of the borrower defaulting – even if the borrower’s risk rating is heightened by poor credit.
Normally a higher risk of default would compel lenders to issue increased mortgage rates. However, as government-insured mortgages, FHA loans typically have interest rates competitive with other lenders. Lower rates help keep monthly mortgage costs down and make home purchases more affordable in the long term.
FHA loans can be used to purchase residences with 1–4 units. This includes everything from detached single-family houses to mobile homes. When buying a condo or townhome the building must be FHA-approved in order to get an FHA-insured loan. Many residential complexes in Chicago are already FHA-approved, however, if the property you’re interested in buying is not, spot approval can be granted. The building must meet a certain criteria outlined by the FHA.
Download an FHA Spot Loan Approval Checklist!
The Federal Housing Administration has been around since the 1930s. It became part of the U.S. Department of Housing & Urban Development (HUD) in 1965 and is now said to be the largest insurer of mortgages in the world. Over the years, the FHA has insured more than 34 million mortgages. After loosing popularity in the 1990s the FHA loan has made a comeback and is currently insuring over 4.8 million home loans.
FHA Building Approval ( By Neighborhood )
| Building Address | Building Name | FHA Approval | Zip Code |
| 3553- 3559 W. Montrose | Approved | 60618 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 5235 N. Ravenswood Ave | Map Factory Lofts | Approved | 60640 |
| 1410-1412 Bryn Mawr | Approved | 60660 | |
| 1648 W Hollywood | Approved | 60660 | |
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Austin (North)/Austin (South) Neighborhood |
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| Building Address | Building Name | FHA Approval | Zip Code |
| 5301-05 W Lemoyne (North Austin) | 5301-05 W. Lemoyne Condominium | Approved | 60651 |
| 5301-05 W Lemoyne (North Austin) | 5301-05 W Lemoyne Condominium | Approved | 60651 |
| 5424 W Ferdinand (Austin) | Merrick Park | Approved | 60644 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 2030 W 111th | Terrace Place West Condominium | Approved | 60643 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 5026-28 S Michigan | Approved | 60615 | |
| 4904-4906 S Vincennes | Approved | 60615 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 1720 N Marshfield | Marshfield Park Condominium | Approved | 60622 |
| 2210 West Wabansia | The Pinnacle Lofts Condo | Approved | 60647 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 700 Bittersweet | Approved | 60613 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 6925-35 W 64th Place | Courtyards Ii | Approved | 60638 |
| 6807-11 S Pulaski | Courtyards I | Approved | 60629 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 1646-50 W Edgewater | Anderson Villas | Approved | 60660 |
| 1248-1254 Thorndale | Approved | 60660 | |
| 1431-33 W Rosemont | Approved | 60660 | |
| 5206 & 5210 N Winthrop | North Winthrop Condominium | Approved | 60640 |
| 6171 N Sheridan | Approved | 60660 | |
Evergreen Park Neighborhood |
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| Building Address | Building Name | FHA Approval | Zip Code |
| 2728 W 87th Street | Approved | 60552 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 5914-20 S Kedzie | Kedzie Condominiums | Approved | 60629 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 105 N Pine Court | Approved | 60644 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 175 E Delaware Place | John Hancock | Approved | 60611 |
| 1540 N Lasalle | Lasalle Terrace | Approved | 60610 |
| 1250 N Lasalle | Approved | 60610 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 5201-09 S Ingleside | Approved | 60615 | |
| 5252 S Drexel | Eaglebrook Condominiums | Approved | 60615 |
| 900 E 62nd | 6153 S Drexel | Approved | 60637 |
| 2301-47 E 70th Place | Park Waters Condo | Approved | 60649 |
| 313-315 E 60th Street | Prairie View Condominiums | Approved | 60637 |
| 5471 Hyde Park Blvd | Watergate East | Approved | 60615 |
| 1501 E 65th St | Varsity Park | Approved | 60637 |
| 5213 S Ingleside | Ingleside Condominiums | Approved | 60615 |
| 5018 S Woodlawn | Approved | 60615 | |
| 5125-31 S Greenwood | Approved | 60615 | |
| 5455-5463 Ingleside | Approved | 60615 | |
| 4705 South Champlain | The 4705 South Champlain Avenue | Approved | 60653 |
| 5021 S Drexel | Approved | 60615 | |
| 5614-16 S Blackstone | Spot Approval | 60637 | |
| 1000 E 53rd | Renaissance Place At Hyde Park | Approved | 60615 |
| 700-702 East 51st St | Parkview Luxury Condos | Approved | 60615 |
| 5121 Drexel | Drexel Square | Approved | 60653 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 3151 N Lincoln | Lincoln Lofts | Approved | 60657 |
| 444-446 W Oakdale | Approved | 60657 | |
| 339 W Barry | Approved | 60657 | |
| 330 W Diversey | Commonwealth Plaza | Approved | 60657 |
| 626-630 W Waveland | Waveland Gardens Condominiums | Approved | 60613 |
| 636 W Waveland | Waveland Courts Condominium | Approved | 60613 |
| 2930 N. Sheridan | Aquilo | Approved | 60657 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 2020 Lincoln Park West | 2020 Lincoln Park West | Approved | 60614 |
| 2754 N Hampden Ct | Hampden Tower Condominium | Approved | 60614 |
| 1667 N Bissell | Approved | 60614 | |
| 1960 Lincoln Park West | Lincoln Park Tower | Approved | 60614 |
| 2322-30 Lincoln Park West | Brighton Of Lincoln Park | Approved | 60614 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 2161 N California | St George Lofts | Approved | 60647 |
| 2654 Medill | Medill Street Lofts | Approved | 60647 |
| 2534-42 N Kedzie | Redgate Court Condominiums | Approved | 60647 |
| 3563 W Lyndale | Approved | 60647 | |
| 2345 W. George | Riverwalk Townhome Condominium | Approved | 60618 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 222 N Columbus | Park Millennium | Spot Approval | 60601 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 155 Harbor Drive | Harbor Point Condominiums | Approved | 60601 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 4337-43 N Kedvale | Kedvale Terrace | Approved | 60641 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 1660 N Lasalle | Approved | 60614 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 5805 W Eddy | Menard Condominiums | Approved | 60634 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 124 W Polk | Folio Square Condominium | Approved | 60605 |
| 621 S Plymouth Ct | Moser Loft Condo | Approved | 60605 |
| 523 S Plymouth | Approved | 60605 | |
| 801 S Plymouth | Approved | 60605 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 4546 N Greenview | Approved | 60640 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 6933 N Kedzie | Winston Towers | Approved | 60645 |
| 1441 W Farwell | Approved | 60626 | |
| 6426 N Ridge | Ridge Village | Approved | 60626 |
| 6325 N Sheridan | Sheridan Point | Approved | 60660 |
| 6033 N Sheridan | Malibu East | Approved | 60660 |
| 1901-03 W Lunt | North Sheridan Condominiums | Approved | 60626 |
| 6964-70 N Wolcott | North Sheridan Condominiums | Approved | 60626 |
| 6220 N Ridge | Emerson Park | Approved | 60660 |
| 6166 N Sheridan | Granville Towers Condominium | Approved | 60660 |
| 6550-52 North Glenwood | Approved | 60626 | |
| 7715-21 N Hermitage | Birchwood Courts | Approved | 60626 |
| 1791 W Howard St | Renaissance Lofts | Approved | 60626 |
| 2654 W Lunt Ave | Lunt At The Park Condominiums | Approved | 60645 |
| 2200-2206 W Granville | Twin Gables | Approved | 60659 |
| 6969 N Ashland | Approved | 60626 | |
| 7120 N Sheridan | Approved | 60624 | |
| 1549 W Sherwin | Approved | 60626 | |
| 7446 N Damen | Spot Approval | 60626 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 70 W Huron | The Hermitage Condominiums | Approved | 60610 |
| 300 N State | Marina Towers | Approved | 60654 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 345 N Canal | Fulton House | Approved | 60606 |
| 525 N Ada | Ada Street Lofts | Approved | 60622 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 5360 N. Lowell Ave | River'S Edge Condominium #1 | Approved | 60630 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 1515 S Michigan | 1515 S Michigan Ave Condominiums | Approved | 60605 |
| 40 E 9th | Burnham Park Plaza | Approved | 60605 |
| 1516 S Wabash | Landmark Lofts Condominiums | Approved | 60605 |
| 1632 S Indiana | Bicycle Station Lofts Condominiums | Approved | 60616 |
| 1720 S Michigan | Approved | 60616 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 2051-61 E 72nd St | Approved | 60649 | |
| 2051-61 E 72nd St | Approved | 60649 | |
| 7363 S Shore Dr | Approved | 60649 | |
| 6700 South Shore Drive | Quadrangle Condominiums | Approved | 60649 |
| 2370 E 71st | Lakeshore Pointe Condominium | Approved | 60649 |
| 6730 S South Shore Dr | Lakefront Place Condominiums | Approved | 60649 |
| 6740 S Olgesby | Approved | 60649 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 233 E Erie | Streeterville Center | Approved | 60611 |
| 253 Delaware | East Delaware Condominium | Approved | 60611 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 1110-1150 W 15th Street | University Commons V | Units Approved | 60608 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 858-60 W Lakeside | Approved | 60640 | |
| 912-914 Leland | Leland Circle Condominiums | Approved | 60640 |
| 700 W Bittersweet | Approved | 60613 | |
| 4630-40 N Racine | Racine Courts At Sheridan Park | Approved | 60640 |
| 5445 Sheridan | Edgewater Plaza Condominium | Approved | 60640 |
| 5230 N Kenmore | The Provenance Condominium | Approved | 60640 |
| Building Address | Building Name | FHA Approval | Zip Code |
| 728 W Jackson | Haberdasher Square Lofts | Approved | 60661 |
| 14 N Sangamon | Art House Condominium | Approved | 60607 |
| 420 &Amp; 426 S Clinton | Gotham Lofts Condominium | Approved | 60607 |
| 411 S Sangamon | Sangamon Loft Condominium | Approved | 60622 |
| 6 S Laflin | Spot Approval | 60607 | |
| Building Address | Building Name | FHA Approval | Zip Code |
| 1565 N Hoyne | Approved | 60622 | |
| 1259 N Wood | Cityview Lofts Condominiums | Approved | 60622 |
