source:
  type: guide
  id: hud-4000-1-ii-e-two-to-four-unit-condominium-project
  authority: FHA Single Family Housing Policy Handbook 4000.1, Part II — e. Two- to
    Four-Unit Condominium Project (10/15/2019)
  description: FHA Single Family Housing Policy Handbook 4000.1, Part II — e. Two-
    to Four-Unit Condominium Project (10/15/2019).
  coverage_tier: operative
obligations:
- id: hud-4000-1-ii-e-two-to-four-unit-condominium-project-full
  canonical_id: hud-4000-1-ii-e-two-to-four-unit-condominium-project-full
  section: FHA Single Family Housing Policy Handbook 4000.1, Part II — e. Two- to
    Four-Unit Condominium Project (10/15/2019)
  type: do
  tags:
  - regulator-direct
  - fha
  - hud-handbook
  - corpus-expansion
  - tier-operative
  primary_source:
    tier: 1
    authority: FHA Single Family Housing Policy Handbook 4000.1, Part II — e. Two-
      to Four-Unit Condominium Project (10/15/2019)
    source_class: hud-handbook
    source_url: https://www.hud.gov/hud-partners/single-family-handbook-4000-1
    snapshot_id: 8c03836f77f317e1
    fetched_at: '2026-05-23T00:28:40Z'
    content_hash: sha256:411430f29b13f9b54a2ebb0e6f6e7087ecd2b90d0da22eb0c8c792eaa2d7d0df
    paragraph_quote: 'e. Two- to Four-Unit Condominium Project (10/15/2019) i. Definition
      A Two- to Four-Unit Condominium Project refers to a Condominium Project that
      comprises of at least two, but no more than four, one-family dwelling Units
      that are each separately owned with separate legal descriptions. ii. Standard
      All general FHA Condominium Project Approval requirements are applicable except:
      • if state law does not require the creation of an annual budget or annual financial
      statements, a signed and recorded memorandum of understanding may be provided
      in lieu of the financial documents. The memorandum of understanding must define
      the individual Unit owner’s responsibilities for maintenance/repair/replacement
      of common areas including sidewalks, driveways, and common walls (includes side
      by side or vertical type Units) and must provide for a procedure for splitting
      any shared maintenance costs; • the project must have an Owner Occupancy Percentage
      of 75 percent owner- occupied; and • no Units in Arrears. iii. Required Documentation
      The following documents must be submitted: • documentation of the verification
      of compliance with the Two-to Four Unit Condominium Project requirements; •
      annual budget, financial statements or memorandum of understanding if applicable;
      and • documented evidence that each Unit is separately owned with a separate
      legal description. II. ORIGINATION THROUGH POST-CLOSING/ENDORSEMENT C. Condominium
      Project Approval 3. Project Approval Submission Handbook 4000.1 802 Last Revised:
      11/26/2025'
  judgment: false
