{"id":47559,"date":"2026-03-18T21:20:08","date_gmt":"2026-03-18T18:20:08","guid":{"rendered":"https:\/\/mk.gen.tr\/fannie-mae-freddie-mac-announce-revisions-to-condo-insurance-standards\/"},"modified":"2026-03-18T21:20:08","modified_gmt":"2026-03-18T18:20:08","slug":"fannie-mae-freddie-mac-announce-revisions-to-condo-insurance-standards","status":"publish","type":"post","link":"https:\/\/mk.gen.tr\/en\/fannie-mae-freddie-mac-announce-revisions-to-condo-insurance-standards\/","title":{"rendered":"Fannie Mae, Freddie Mac announce revisions to condo insurance standards"},"content":{"rendered":"

Fannie Mae<\/strong> and Freddie Mac<\/strong> on Wednesday announced updates to condominium project standards and property insurance<\/a> requirements for one- to four-unit properties and project developments, with a stated goal of reducing costs for homeowners.<\/p>\n

\u201cWe are replacing a disruptive and expensive Biden insurance mandate with commonsense policies for today\u2019s market,\u201d Bill Pulte<\/a>, director of the Federal Housing Finance Agency <\/strong>(FHFA<\/a>), said in a statement. \u201cLower insurance costs and mortgage rates<\/a> shrink the monthly payment of a new mortgage, giving new homebuyers confidence that they can afford the American dream.\u201d<\/p>\n

The FHFA said the government-sponsored enterprises (GSEs) are \u201cscrapping an unnecessary clarification from 2024 that would have slowed insurance claims and driven up costs for no good reason.\u201d<\/p>\n

Under the updates, condo buildings<\/a> can now use actual cash value (ACV) roof coverage, which pays for what the roof is currently worth, while the rest of the home retains full replacement cost value (RCV) protection. \u201cMeaning it will be rebuilt brand-new if disaster<\/a> hits,\u201d the FHFA explained.<\/p>\n

The agency said the change addresses the problem of full-replacement roof coverage becoming expensive. Condo buildings previously \u201cpriced out\u201d of the mortgage market will now qualify again, the regulator explained, and the GSEs are also simplifying the maximum per-unit deductible rule.<\/p>\n

According to the GSEs, the updates are \u201cin response to industry feedback and evolving market conditions.\u201d<\/p>\n

On the project standards side, the GSEs<\/a> are expanding the waiver of project review and retiring PERS review for new condo projects with attached units in Florida<\/a>. Updates also include investor concentration limits<\/a> and a limited review process.<\/p>\n

The Community Home Lenders of America<\/strong> (CHLA<\/a>) released a statement in response to the policy changes.<\/p>\n

\u201cCHLA commends Fannie Mae and Freddie Mac for taking actions CHLA has been calling for to create more flexible replacement cost and deductible insurance requirements for condominiums,\u201d the statement read.<\/p>\n

\u201cAnd while CHLA appreciates the increased exemption threshold up to 10 units for limited reviews, CHLA does have concerns about ending this important option for condos more broadly. We urge Fannie<\/a> and Freddie<\/a> to explore ways to achieve its objectives on this issue in a less burdensome manner.\u201d<\/p>\n

Editor\u2019s note: <\/strong>This is a developing story and will be updated as more information becomes available.<\/em><\/p>","protected":false},"excerpt":{"rendered":"

Fannie Mae and Freddie Mac on Wednesday announced updates to condominium project standards and property insurance requirements for one- to four-unit properties and project developments, with a stated goal of reducing costs for homeowners. \u201cWe are replacing a disruptive and expensive Biden insurance mandate with commonsense policies for today\u2019s market,\u201d Bill Pulte, director of the…<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/mk.gen.tr\/en\/wp-json\/wp\/v2\/posts\/47559"}],"collection":[{"href":"https:\/\/mk.gen.tr\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mk.gen.tr\/en\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mk.gen.tr\/en\/wp-json\/wp\/v2\/comments?post=47559"}],"version-history":[{"count":0,"href":"https:\/\/mk.gen.tr\/en\/wp-json\/wp\/v2\/posts\/47559\/revisions"}],"wp:attachment":[{"href":"https:\/\/mk.gen.tr\/en\/wp-json\/wp\/v2\/media?parent=47559"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mk.gen.tr\/en\/wp-json\/wp\/v2\/categories?post=47559"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mk.gen.tr\/en\/wp-json\/wp\/v2\/tags?post=47559"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}