Condo loan qualifications loosened as FHA eases crisis-era restrictions

Ben Bradford Aug 22, 2019
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A "For Sale" sign in the front yard of a D.C. home. Drew Angerer/Getty Images

Condo loan qualifications loosened as FHA eases crisis-era restrictions

Ben Bradford Aug 22, 2019
A "For Sale" sign in the front yard of a D.C. home. Drew Angerer/Getty Images
HTML EMBED:
COPY

Condos are more complicated investments than single family homes; multiple owners share responsibility for rooftops, decks, plumbing and electric wiring. Over the past decade, the Federal Housing Administration has required entire buildings to be certified before buyers could get a loan for a unit. The requirement was prompted by defaults that piled up during the financial crisis. Starting in October, the FHA is loosening qualifications for loans for prospective buyers of individual condos. That will add risk but could help with a national housing crisis.

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