The Real Deal Miami

Fannie changes tighten Florida condo market

January 26, 2009 10:11AM

Lending giant Fannie Mae set up new lending limits for Florida, which
analysts say will make it even more difficult to sell units in
buildings already starved for residents and struggling financially. New
rules, enacted last week, will limit loans to buyers in developments
where no more than 15 percent of a building’s unit owners are delinquent
on association fees. Fannie, which buys loans
from lenders, uses its backing to ensure the best rates. Jack McCabe, a
South Florida real estate consultant who believes the region is mired
in a housing depression, said the measure will make statewide market
revival more difficult.