This article explores the importance of FHA approvals for different stakeholders – homeowners, buyers, sellers, and HOA boards – and offers a comprehensive view of the process, benefits, and strategic considerations involved. Read the article…………………………….
HUD announces final rule to protect against flood risk
The U.S. Department of Housing and Urban Development (HUD) announced Monday that it published a final rule, the Federal Flood Risk Management Standard (FFRMS), in the Federal Register. The rule is designed to “help communities prepare for and reduce flood damage” and other extended climate risks, including “heavy storms, increased frequency of severe weather events […]
HUD Charges Hawaii Condominium Association, Management Company, Condominium Unit Owners, and Real Estate Agent with Disability Discrimination
The U.S. Department of Housing and Urban Development (HUD) announced today that it is charging individuals and entities associated with a Kailua-Kona, Hawaii, condominium complex, including the condominium association, employees of the condominium association, the property management company, an employee of the property management company, the condominium unit’s owners, and the owners’ real estate broker […]
Federal Housing Administration Proposes New Enhancements to Home Equity Conversion Mortgage Program
Allowing outstanding homeowner’s association dues to be included in the calculation of a repayment plan for borrowers who are behind on their HECM financial obligations; Read the article……………………………..
Website Accessibility: The ADA and FHA
In recent years, and trending more frequently as of late, we have heard about businesses, big and small, receiving demand letters related to their website accessibility, alleging ADA noncompliance, and threatening to file suit and seek damages on behalf of the people with disabilities they represent. Here we will cover what web accessibility means and […]
Is Your Condo on Fannie Mae’s Blacklist? Listed Communities Face Big Problems Borrowing
As has been widely reported lately, Fannie Mae, which is under the conservatorship of the Federal Housing Finance Agency (FHFA) has developed a secret blacklist of condominiums, HOAs and co-ops that are ineligible for “conventional financing”, i.e. loans that can be sold on the secondary market. It will be difficult for owners in these blacklisted […]
Be Aware Of Potential Disparate Impact Discrimination Claims In Your Association (MI)
In community association administration, disparate impact claims can arise when a seemingly neutral policy or practice has a disproportionate negative impact on a group protected by fair housing laws. For example, communities occasionally ask us whether they can restrict the number of people that live in a property based on the number of bedrooms. Read […]
New Announcement by HUD Means More Options for Flood Insurance
All community association boards want to be good stewards of the funds collected from their homeowners. Sometimes, when finances are tight, a board has to face hard choices about how to reduce costs. That might mean reducing services or even deferring needed maintenance for a period of time where that maintenance is not essential to […]
HUD charges California condo operators with disability discrimination
The U.S. Department of Housing and Urban Development has charged the operators of a 556-unit, high-rise condominium tower located in Long Beach, Calif., with discriminating against a homeowner because of disability by refusing to provide her a permanent parking space to accommodate her wheelchair-accessible van. Read the article………………………..
Aurora homebuyers may lose condos awaiting U.S. Department of Housing and Urban Development approval (CO)
Pritchard was approved for an Federal Housing Administration (FHA) loan, and the single mom thought she had been doing everything right. That was until two weeks ago when her realtor learned the U.S. Department of Housing and Urban Development (HUD) had still not approved the building for FHA loans. Read the entire article……………………………….
Surfside Towers Collapse Causes Tighter Maintenance and Capital Reserve Requirements for Associations (PA)
It has been about half a year since the terrible collapse of Champlain Tower South in Surfside, Florida. Because of this tragedy, condominium and homeowners’ association boards and owners have been concerned about the structural safety of their buildings. And now Associations are facing hard questions from mortgage companies concerning both maintenance and capital reserve […]
Fannie Mae now requires robust reserves (IL)
Q: Can you describe some of the key points of the new Fannie Mae condominium lender guidelines? Read the Q&A………………………………
Fraud Alert: Mortgagee Questionnaire Scams
In response to the tragedy at the Surfside condominium in Florida, Federal mortgagees are starting to update their questionnaires that are required to be completed in conjunction with the financing of a condominium unit sale. These changes include questions about the current status and condition of the property that are difficult to answer, along with […]
FNMA Lender Letter Articles
On October 13, 2021, the Federal National Mortgage Association (Fannie Mae) issued Lender Letter LL-2021-14 (“Lender Letter”), to take effect January 1, 2022. This Lender Letter temporarily revises the eligibility requirements for lenders issuing loans that may be purchased by Fannie Mae for properties located in condominiums containing five or more attached units. Read […]
HUD Provides More Guidance on Emotional Support Animals but Little Help for Association Boards Dealing with Accommodation Requests
Condo association attorneys had long been anticipating new guidance from the Department of Housing and Urban Development (HUD) dealing with emotional support animals. That guidance was finally issued in January 2020, but it fell short of the stricter requirements practitioners had wanted. Read the entire article……………………………….
HUD Provides More Guidance on Emotional Support Animals but Little Help for Association Boards Dealing with Accommodation Requests
Condo association attorneys had long been anticipating new guidance from the Department of Housing and Urban Development (HUD) dealing with emotional support animals. That guidance was finally issued in January 2020, but it fell short of the stricter requirements practitioners had wanted. Read the entire article……………………………….
HUD Charges Fla. HOA with Disability Discrimination
A condo owner helped remove debris following 9/11 and needs to leave shoes outside due to a respiratory condition. HUD alleges the condo board turned down his request. Read the entire article……………………………….
Association says ‘no cats allowed;’ HUD says that’s discrimination (CA)
Federal authorities have charged an Oceanside mobile home park with violating the Fair Housing Act by refusing to let a woman with mental health disabilities keep a cat as an assistance animal. Read the entire article……………………………….
Updated HUD Guidelines Regarding Service and Support Animals and the Reasonable Accommodation……. (WA)
On January 28, 2020, the U.S. Department of Housing and Urban Development (HUD) issued long-await updated guidelines to housing authorities, such as condominium associations and homeowners associations, related to service animals, support animals, and reasonable accommodation requests. A reasonable accommodation request is a tool that residents use when seeking accommodation from their housing authority to […]
HUD Revises Condominium Forms HUD-9991 and HUD-9992
In Mortgagee Letter 2021-09, HUD announced the publication of Form HUD-9991, FHA Condominium Loan Level/Single-Unit Approval Questionnaire and Form HUD-9992, FHA Condominium Project Approval Questionnaire. Major changes to both forms include, consolidation or elimination of required information, removal of the requirement that the Condominium Association complete the form and sign the certification, and permitting data […]
Assessing a Person’s Request to Have an Animal as a Reasonable Accommodation Under the Fair Housing Act
This notice explains certain obligations of housing providers under the Fair Housing Act (FHA) with respect to animals that individuals with disabilities may request as reasonable accommodations. Read the HUD Document (PDF)…………………………….
The FHA, ADA, & Community Associations: What Boards Need To Know (Part 2) (NC)
In a recent article, we began our discussion of the Fair Housing Act (FHA) and the Americans with Disabilities Act (ADA) as they relate to community associations. A large part of understanding the FHA and ADA is knowing who they protect, the provisions of those protections and what housing providers such as homeowner’s associations must […]
REASONABLE ACCOMMODATIONS UNDER THE FAIR HOUSING ACT
The Department of Justice (“DOJ”) and the Department of Housing and Urban Development (“HUD”) are jointly responsible for enforcing the federal Fair Housing Act1 (the “Act”), which prohibits discrimination in housing on the basis of race, color, religion, sex, national origin, familial status, and disability.2 One type of disability discrimination prohibited by the Act is […]
Why Most Florida Condominiums Don’t Qualify for FHA Financing
Let’s start with some background on FHA-insured mortgage financing. The Federal Housing Administration (FHA) is an agency of the US Department of Housing and Urban Development (HUD), a Cabinet-level department of the Federal government. In order to help make mortgage funding available to a broader rangeof buyers, the FHA insures independent lenders against buyer/borrower default. […]
The FHA, ADA, And Community Associations: What Boards Need To Know (NC)
The Fair Housing Act (FHA) was created to ensure that Americans receive equal treatment when seeking housing and thereby made it illegal to discriminate against people based upon certain protected classes. Closely related to the FHA, the Americans with Disabilities Act (ADA) was created to ensure that those with disabilities are afforded equal access to […]
9th Cir. Holds Quiet Title Claims By GSEs Subject to 6-Year HERA Statute of Limitations
The U.S. Court of Appeals for the Ninth Circuit recently held that, under the federal Housing and Economic Recovery Act (HERA) statute of limitations provisions, a quiet title action brought by Freddie Mac or Fannie Mae is a “contract” claim with a six-year statute of limitations, and not a “tort” claim subject to a three-year […]
Less Than 1% of Miami’s Condo Buildings Have FHA Approval (FL)
According to a recent report by Miami Realtors, only 13 of the 9,307 condominium buildings in Miami-Dade and Broward counties were approved for Federal Housing Administration (FHA) loans, down from 29 last year. In Florida, potential condo buyers must personally qualify for a home loan, but the condo project itself must also undergo approval for […]
How the New Condo Rule is Playing Out for Reverse Mortgage Lenders
In late 2019, the Department of Housing and Urban Development issued new condominium guidelines that aimed to make it easier for single units to be approved for Federal Housing Administration (FHA) financing. This included transactions under the Home Equity Conversion Mortgage (HECM) program. Read the article…………………………..
Occupancy Restrictions and the FHA (FL)
Many Associations’ Declarations contain occupancy restrictions relating to the number of bedrooms in a home or unit. The standard provision reads two person per bedroom are permitted in a unit or home. However, does this occupancy restriction violates the federal and/or Florida Fair Housing Acts (“FHA”)? The short answer is, it depends. Read […]
HUD Issues New Guidance for Assistance Animals in Housing
Changes in public perceptions and levels of awareness of the issues surrounding emotional support animals have created a mandate for new state laws and federal policies. Earlier this year I wrote in this column about new measures being considered by the Florida Legislature as well as the U.S. Department of Housing and Urban Development. HUD […]
FHA Updates – Assistance Animals
The Fair Housing Act (“FHA”) prohibits a community association from discriminating against a person in providing services or facilities in connection with a sale or rental because of disability. Prohibited discrimination includes (1) a refusal to make reasonable accommodations; and (2) a refusal to permit reasonable modifications. Read the article…………………………..
HUD’s Guidance on Application of Fair Housing Act Standards to the Use of Criminal Records: Where Do We Stand?
A client recently came to me about amending the declaration of the homeowner’s association to prohibit certain specific violent felons, and, in particular, sexual predators from residing in the association. The client posed the question as to whether the proposed amendment would be discriminatory since they had heard that the use of criminal background checks […]
Say Good-Bye to Emotional Support Emus (CO)
In January 2020, United States Department of Housing and Urban Development released updated guidelines pertaining to Emotional Support Animals (“ESA”) under the Fair Housing Act (“FHA”). These new guidelines materially altered the previous guidelines relating to emotional support animals by changing the documentation requirement for emotional support animals and by changing the type of animal […]
HOA Homefront: Need an assistance llama? HUD says not so fast
Assistance animals are very important to certain disabled people. Under the federal Fair Housing Act and California Fair Housing Regulation section 12005(d), such animals are not pets, and housing providers — including HOAs — must make reasonable accommodations to permit such animals. Read the article………………………….
New Guidelines From HUD Aid Boards Reviewing Requests For Assistance (MI)
On January 28, 2020, the U.S. Department of Housing and Urban Development (HUD) issued new guidelines clarifying how housing providers can comply with the Fair Housing Act (FHA) in reviewing an individual’s request for an assistance animal. These requests often prove to be tricky to navigate for both parties, as individuals may not understand what […]
The top 3 things you must know about HUD’s new guidance on assistance and emotional support animals
On January 28, 2020, the Department of Housing and Urban Development (HUD) issued new guidance on how housing providers, such as condominium associations, homeowners associations and landlords, can comply with the Federal Fair Housing Act (FHA), 42 USC 3601 et seq. in evaluating requests for assistance and emotional support animals. HUD estimates that 60% of […]
New HUD Guidelines on Assistance Animals
Purpose:This notice explains certain obligations of housing providers under the Fair Housing Act (FHA) with respect to animals that individuals with disabilities may request asreasonable accommodations.There are two types of assistance animals: (1) service animals, and (2) other trained or untrained animals that do work, perform tasks, provide assistance, and/or provide therapeutic emotional support for […]
New Guidelines for FHA Financing in Condominiums (UT)
If you’ve ever worked with a Condo Association to obtain project approval for FHA financing, you are aware that the process can be cumbersome. It involves gathering and presenting governing documents, financial statements, and insurance policies, among other required documentation and certifications. Read the article…………………………
Federal Rule Changes Impact Real Estate
The start of the New Year means new laws go into effect, many of which impact buyers, sellers, homeowners, and investors in real estate. This year, several new laws and regulations will make it easier for certain homebuyers to obtain financing, investors to obtain the insurance they need, and property owners to take advantage of […]
NEW RULES FOR FHA FINANCING – WHAT BOARD MEMBERS NEED TO KNOW (FL)
For some home buyers, financing the purchase of their new home can be a barrier to entry. Many home buyers need the benefit of an FHA backed loan for their lower interest rates. The Federal Housing Authority (FHA), a part of the Department of Housing and Urban Development (HUD), has provided mortgage insurance on loans […]
Condos and the Federal Housing Administration: Breaking Down Changes to FHA-insured Mortgage Requirements
On August 15, the U.S. Department of Housing and Urban Development (HUD) released a revision to long-burdensome regulations on FHA-insured mortgages for condominium homeownership. The changes are scheduled to go in to effect on October 15, 2019. Read the article………………