The Condo Rules Just Changed: What Every Buyer, Seller & Realtor Needs to Know
Condo financing is changing, and for buyers, sellers, and real estate agents, the biggest takeaway is simple: a condo financing issue does not automatically mean the deal is dead. New Fannie Mae and Freddie Mac requirements are putting more attention on HOA reserves, building condition, insurance, meeting minutes, and overall project health. That means some condos may require more documentation or a different financing strategy than they did in the past. The key is identifying those issues early, asking the right questions, and working with a lender who understands how to navigate both warrantable and non-warrantable condo options.
For buyers, doing a little homework upfront can help prevent surprises once you are in contract. For sellers and listing agents, reviewing the HOA and building information before the property hits the market can make the listing stronger and help uncover potential financing concerns before a buyer is involved. To make that easier, we created a Condo Buyer & Listing Checklist that outlines the documents and questions we recommend reviewing early, including reserves, special assessments, litigation, meeting minutes, and recent financing activity within the building.
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Insurance is another major piece of the condo financing puzzle, and changes in coverage or rising premiums can have a direct impact on whether a project qualifies for certain loan programs. We recommend using our Condo Insurance Calculator alongside the checklist to better understand how the building's insurance may affect financing. Whether you're buying, selling, or preparing to list a condo, these tools are designed to help you stay ahead of potential issues — and if something is flagged, send it our way. Kaelen Cavalli and Deanna Schmidt with Alameda Mortgage are happy to take a second look and help determine what financing options may still be available.
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