FHA Certification Now Easier for Condominiums
Goodman, Shapiro & Lombardi, LLC joins the Community Associations Institute (CAI) in applauding a recent decision by the Federal Housing Administration (FHA) that will make is easier for more condominiums to be certified by FHA. The decision stipulates that condominiums providing bank-owned properties limited flexibility from transient leasing prohibitions are now eligible for FHA approval.
Under FHA’s new policy, condominium associations in violation of FHA prohibitions on transient leasing are offered two compliance options:
- The association may amend governing documents to remove bank-owned property exemptions from transient leasing prohibitions, or
- The association board may provide a dated and signed statement on association letterhead affirming that no units within the condominium project are leased for a term of fewer than 30 days and tenants are not provided services commonly associated with a hotel.
To read the entire announcement, please visit CAI’s government affairs blog.
For more information, you may also contact CAI’s Government & Public Affairs Department at 888.224.4321 or firstname.lastname@example.org.
For further legal counsel on this matter, please contact us at GSL.