The days of putting almost nothing down for a Miami condo have returned. Per a report from the Miami Herald, 97 percent financing is now available for some Downtown Miami condominiums, echoing the lending standards of the pre-Lehman era.
The developers behind Midtown Miami announced a program allowing buyers to qualify for 97-percent financing at the high-rise condo complex, where the units start at $276,000. At that price, a buyer could obtain a mortgage with a down payment of $8,300.
The new financing program is designed to boost sales at the complex’s 33-story 4 Midtown tower, which is already built but undergoing renovations.
With these sorts of lending practices, the boom could be back. Overzealous lending practices have been blamed for Florida’s high foreclosure rate. In 2012, Florida led the nation in foreclosures, with one in every 32 homes receiving a filing related to foreclosure, previous reports from the Herald show.