FHA Approved Condo List

Consumers may search the database for FHA approved condos at entp.hud.gov.  However, this should only be considered a starting place since approval guidelines have been tightening, and the database may not fully reflect these changes.  Current requirements include:

*Complex must be at least 51% owner occupied.
*No one entity can own more that 10% of the units.
*Only 50% or less of the units can have FHA insured loans (concentration).
*Less than 15% of the units can be in behind more than 30 days on association fees.
*HOA must carry specific insurance on the complex (see Letter B below)

For detailed information read the Mortgagee Letter 2009-46-A and  Mortgagee Letter 2009-46B .

When we represent clients buying condos with FHA loans, we’ve found the best way to make sure the condo complex is approved is not only to check the database but also to contact the HOA prior making an offer.  The HOA management company should be able to provide answers to these questions along with details regarding their insurance coverage.

**Some of these same requirements may apply when seeking conventional financing as well.

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