@whatsamortgage_: 🚨 CONDO OWNERS AND FUTURE CONDO BUYERS — PAY ATTENTION. Starting in 2027, Fannie Mae and Freddie Mac are increasing the minimum amount many condo associations will need to budget toward reserves from 10% to 15%. That sounds like a 5% increase. But going from 10% to 15% is actually a 50% increase in the reserve contribution requirement. For example, if an HOA budget resulted in $100,000 being contributed toward reserves at 10%, increasing that contribution rate to 15% would mean $150,000. So where could that additional money come from? Potentially the homeowners — through higher HOA dues, changes to the HOA budget, or special assessments, depending on the association’s finances. And buyers need to pay attention too. If a condo project doesn’t meet Fannie Mae or Freddie Mac requirements, getting traditional conventional financing could become more difficult. Buyers may have to consider other financing options that could require different rates, costs, or down payments. So before buying a condo, don’t look only at the purchase price and monthly mortgage payment. Look at the HOA’s: • Reserves • Budget • Insurance • Current or upcoming assessments • Financing eligibility A condo price could come down while the cost of owning it still goes up. Follow What’s A Mortgage for simple updates on mortgages, housing, and homeownership. This is general educational information. HOA finances and mortgage eligibility vary by project and loan program. #Condo #HOA #Mortgage

Minh Nguyen | Mortgage Broker

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Region: US

Friday 25 September 2026 15:11:36 GMT