Miami Condo Financing Update
Fannie Mae Ended Limited Condo Project Review on August 3, 2026
The change is important, but it is narrower than headlines such as “new condo financing rules.” Fannie Mae retired one project-review pathway, changed how reserve studies can support underwriting, and left other review options in place.
What changed in practice
Florida condo financing continues, but the Fannie Mae review path has changed
Limited Review is retired
For applications dated August 3, 2026 or later, Fannie Mae removed Limited Review from the project-review framework.
The next step is Full Review or an applicable Waiver
The lender now determines whether the transaction proceeds through Full Review or qualifies for Fannie Mae’s Waiver of Project Review.
The practical effect is more emphasis on the current project record
For buyers and sellers, the important issue is whether the lender can obtain and evaluate the current association, reserve, inspection, and insurance information required for the applicable review path.
The reserve-study change
August 3 also changed how reserve studies can support project review
When a lender uses a reserve study to show that a project has sufficient reserves despite not meeting the standard budgeted reserve requirement, Fannie Mae now requires the budget to fund the highest recommended reserve allocation in that study. Fannie Mae also eliminated use of the baseline funding method for this flexibility.
Separate 2027 rule
The increase in Fannie Mae’s minimum Full Review replacement-reserve allocation from 10% to 15% does not take effect on August 3, 2026. It applies to Full Review loan applications dated January 4, 2027 or later.
Why Miami buyers should care
Document readiness can become part of financing timing
Fannie Mae’s project standards require lenders to evaluate critical repairs and related project conditions. Its current FAQ states that recent structural or mechanical inspections may need to be reviewed and that, when a lender cannot obtain enough information to determine the project is not in need of critical repairs, the loan may not be eligible for sale to Fannie Mae.
Buyer implication
Start project review early. Do not wait until the unit inspection is complete before the lender asks the association for financial, engineering, reserve, assessment or insurance records.
Seller / association implication
A building can create unnecessary financing friction when current records exist but cannot be produced or explained efficiently. Document organization can affect transaction speed even when the underlying project condition is acceptable.
What to ask now
Four questions for a financed condo purchase after August 3
- Which Fannie Mae project-review path applies to this transaction now that Limited Review is retired?
- Has the lender checked the project’s current Fannie Mae status and insurance requirements?
- What association records are still required to complete the review?
- If Full Review cannot be completed or the project does not qualify, is there a realistic Freddie Mac, FHA, portfolio, or other alternative for this buyer?
Read the complete 2026 Miami condo financing guide →
Review the condo due-diligence framework →
Back to topFAQ
August 3 financing change
Does the change apply to loan applications from before August 3?
Did Florida’s condo laws change on August 3?
Is Full Review now required for every established project?
Primary sources
Official sources checked for this page
Financing policy changes. The lender and loan program must confirm the requirements that apply to a specific transaction.
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