On Oct. 26, 2016, the Department of Housing and Urban Development, under the new provisions, FHA approved condominium projects require at least 50% of the units to be owner-occupied, but will allow for the owner-occupancy requirement to be lowered down to 35% if:
- The project has replacement reserves of at least 20% of the budget,
- No more than 10% of the units are in arrears (more than 60 days past due), and
- The condo has three years of acceptable financial documents.
http://portal.hud.gov/hudportal/documents/huddoc?id=16-15ml.pdf
This information shared by the National Association of REALTORS®
http://www.realtor.org/articles/fha-condo-owner-occupancy-update
