Zeitgeist re: you link….FHA has already delayed twice the implemenation of it’s new condo rules. IMO I think FHA/Fannie is going to have to make some adjustments to their condo guides or they are going to have way too big of a problem with condo foreclosures. I would look towards FHA possible making some adjustments to make it slighly easier to buy condo’s. b/c they already hold so many mortgages in condo’s, it’s not going to be in their interest to create draconian guidelines that reduce the value of those mortgages.
I also think if you plan to live in the condo and hold it for a while, this stuff will get worked out over time. As long as you are in a good neighborhood and getting in at close or near bottom (now), good chance you will be OK. They are going to be the ONLY semi-affordable housing left in San Diego and there will be limited housing suppy again in San Diego. This is not Texas where you can just build, build, build forever. SFR’s in good neighborhoods are out-of-reach for most, or even those that could buy, but don’t want the $3,500+/mo housing payment of a SFR in a *decent* San Diego neighborhood.
