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Home Mortgage

FHFA Seeks Input on Eligibility Requirements for Projects with Short-Term Rental Units

May 6, 2021
Reading Time: 1 min read

The Federal Housing Finance Agency today issued a request for information seeking feedback on Fannie Mae and Freddie Mac’s eligibility requirements for condominium, cooperative and planned unit development projects that have short-term rentals, operate with services and amenities similar in function to hotels and motels or may otherwise be considered transient housing.

The GSEs recently updated policies addressing the purchase of these types of “short-term projects,” but there has been some confusion about how sellers should best determine whether projects comply with existing requirements. With this RFI, FHFA is seeking input on how differences in the GSEs’ policies affect eligible loan deliveries that comply with their charters, as well as the extent to which these differences have caused industry confusion or processing inefficiencies. Comments on the RFI will be due within 60 days of publication in the Federal Register.

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