Ineligible condo projects
Sometimes the problem is not the unit at all—it is the way the entire project is structured or operated.
Common Fannie ineligible characteristics
Examples include timeshare/fractional ownership, condo-hotel operations, certain split-ownership arrangements, impermissible multi-dwelling legal units, excessive single-entity ownership, certain litigation, projects needing critical repairs and projects terminating or in insolvency proceedings.
Single-entity ownership
Fannie limits how many units one individual or entity can own in many projects. The permitted concentration changes with project size and structure.
CPM status matters
A Fannie project shown as Unavailable in Condo Project Manager or on DU findings is ineligible for standard delivery unless an applicable exception is obtained.
Official guide baseline
Fannie Mae Selling Guide · Freddie Mac Seller/Servicer Guide
Condo eligibility is both loan-level and project-level. A strong borrower does not cure an ineligible project.