FHA approved condos. fha approved condominiums meet the mortgage insurance guidelines of the Federal Housing Administration and are eligible for FHA mortgage financing.
Requirements for a Condo to Be FHA Approved FHA Approval. In the past, you could file paperwork on a case-by-case basis to have your condo. Complex Requirements. To gain FHA approval, a condominium complex must contain two or more units. Owners. No one person or entity can own more than 10.
FHA-approved condo requirements. Have no more than 15% of the total units more than 30 days past due on their condo association dues payments. Allocate at least 10% of their budget to a reserves account to be used maintaining the common areas Carry adequate hazard, flood, liability and other insurance. Essentially,
As non-approved condo communities see this success, they will make efforts to get on, and stay on, the FHA approved list. But approval does not happen overnight. It can be a lengthy process.