One of the biggest hurdles when it comes to buying Miami Beach condos is obtaining a loan with a major provider like Fannie Mae. Nowadays, the mortgage giant has strict lending restrictions in place that allow only deep pocketed investors to purchase condo units in bulk. Thankfully, that is no longer the case.
Fannie Mae and its sibling Freddie Mac have both taken steps towards encouraging sales of properties throughout the state of Florida by easing up on the restrictions once required to purchase property like Miami Beach condos. In fact, the former has already added over 30,000 units in Miami alone to its list of buildings. The latter has also committed to backing up mortgages even in buildings where occupancy is low and association fee delinquency remains high. The catch is that the seller's 's loan must already be owned or secured by Freddie Mac.
Market analysts predict that such measures will improve demand for Miami Beach condos considerably as a larger pool of buyers compete for the best deals. Is this the right course of action for Fannie Mae and Freddie Mac to take?