MPF Xtra Temporary Condo Requirements
Effective Date: Immediately (unless otherwise noted)
On October 13, 2021, Fannie Mae published Lender Letter LL-2021-14 to specify temporary requirements that impact the eligibility of certain condo projects.
Due to the tragic collapse of the Champlain South Tower in Surfside, Florida, residential buildings with aging infrastructure and significant deferred maintenance are a growing concern across the nation.
In response to the concerns about projects with significant deferred maintenance, Fannie Mae is issuing temporary requirements that impact the eligibility of condo projects containing attached units.
These requirements apply to all mortgage loans secured by units in projects with five or more attached units, regardless of the type of project review or review waiver.
Effective: Unless otherwise noted within the lender letter, the requirements are effective for whole loans purchased on or after January 1, 2022 and will remain in effect until further notice.
To gain a full understanding of these topics, PFIs should review the entire Fannie Mae Lender Letter plus any applicable Fannie Mae Selling Guide chapters, forms, or exhibits noted in the announcement.
- MPF Announcement 2021-77