In November 2016 the government announced that it would lower the minimum required owner-occupancy rate from 50% to 35%, which could allow more condominium buildings to become FHA Certified. The lower owner-occupancy rate, however, comes with additional requirements that must be met in order for any buyer to purchase in a condominium building with an FHA insured mortgage.

Buildings with fewer than 50% of their units occupied by owners must also document that their financial reserves equal 20% of more of their budget and that no more than 10% of units are late of homeowner dues. Additionally, they must provide 3 years of financial documents for review that are deemed "acceptable."

These more stringent criteria could potentially shut out a large number of condominiums from FHA eligibility, but those that are managing well financially despite high investment ownership rates would still qualify.

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