The owner's association fees are a crucial component of the loan qualification process. Lenders evaluate the financial obligations associated with a property, which include not only the mortgage payment but also any recurring fees associated with ownership, such as homeowners' association (HOA) or condo association fees. These fees can impact a borrower's overall financial capacity and debt-to-income ratio, which are significant factors in determining loan eligibility. If these fees are substantial, they can affect a borrower's ability to afford the total costs associated with owning the property, thereby influencing the lender's decision on loan approval.
The other options, while relevant in different contexts, do not directly tie into the owner's association addendum in the same way. The purchase price and earnest money primarily focus on the property's transaction rather than on ongoing ownership costs. The income potential of the property may be relevant to an investment analysis but does not factor into the loan qualification related to owner-occupied properties. Thus, the owner's association fees are directly related to the ongoing financial commitment required of a property owner, making them essential for the loan qualification assessment.