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City’s Affordable Housing Program Helps Condominium Associations Apply for FHA Certification


Gaithersburg, MD (January 4, 2019) Condominiums are becoming an increasingly popular housing choice for young millennials, low- to moderate-income buyers and older adults who may be downsizing. However, without Federal Housing Administration (FHA) approval, the condominiums are not available to first time buyers or older adults seeking reverse mortgages. Condominium owners are also unable to sell their units, as even conventional loans require FHA certification.


Through its Housing Initiative Fund, the City of Gaithersburg has appropriated funds to connect condominium associations with an experienced consultant who can help them prepare and file the required paperwork with the Department of Housing and Urban Development. Gaithersburg pays the full cost of the process, relieving the properties from the financial burden and time involved in submitting FHA applications.


“We estimate that there are approximately 60 condominium communities in Gaithersburg that might be eligible to take advantage of this program,” said Louise Kauffmann, Housing and Community Development Chief for the City of Gaithersburg. “That represents more than 2,000 units. In combination with our other assistance programs, we’re working hard to allow everyone who wants to live in Gaithersburg an opportunity to do so.”


With some exceptions, Gaithersburg requires the availability of Moderately Priced Dwelling Units and Workforce Housing Units in most new developments and redevelopments in the City. The City also offers a Homebuyer Assistance Loan Program, classes for first time homebuyers, eviction prevention services, and a wide range of financial wellness and empowerment resources. Visit the Housing Services and Community Services pages on the City’s website at for more information.