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Fannie Mae backs off some condo financing

March 18, 2009 |  4:31 pm

This won't help move condos -- those being marketed by builders and those listed by homeowners. From "Fannie Tightens Its Conditions for Backing Condo Mortgages" in the Wall Street Journal:

Fannie Mae has added restrictions making it more difficult for developers to sell their units.

The government-backed mortgage-finance company stopped guaranteeing mortgages in condo buildings where fewer than 70% of the units have been sold, up from 51%. In addition, the company won't back loans for sales in buildings where 15% of current owners are delinquent on association fees or where more than 10% of units are owned by a single-entity.

The new policy became effective March 1....

So much for easy financing.

-- Lauren Beale

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