Condos have long offered buyers an affordable path to homeownership. Price, down payment and mortgage rates are familiar considerations for an individual unit, but buyers also need to consider whether the building can qualify for financing.
In this episode of the RiskWire Webcast, hosts Veros Chief Economist and Executive Vice President of Analytics Eric Fox and Senior Research Economist Reena Agrawal connect changing lending requirements with the financial and physical challenges facing America’s aging condo stock.
Key takeaways:
- On August 3, 2026, Fannie Mae and Freddie Mac implemented updated condominium project [1] review requirements. Fannie Mae retired its Limited Review process, while Freddie Mac retired its Streamlined Review process. Both GSEs also strengthened reserve study requirements [2].
- Underfunded reserves can leave condo owners facing unexpected substantial financial hardship, special assessments, or higher Homeowner Association dues.
- As of August 2025, 3.6% of condo projects in Fannie Mae’s system [3] had an ineligible status. The two leading reasons were insufficient master property insurance and critical repair issues, including failure to satisfy state or local inspection requirements.
Watch Episode 51 of the RiskWire Webcast for a closer look at the financing challenges facing condo buyers and sellers: Webcast & Interviews – RiskWire, powered by Veros
For ongoing economic updates and housing market insights, visit RiskWire.com! Also, don’t forget to listen to RiskWire: On the House on your preferred channel: Apple Podcasts, Spotify, and YouTube Podcasts.
