Before a buyer passes on a property or puts their home search on hold, make sure they understand what today’s mortgage financing options can make possible.
In today’s Las Vegas real estate market, buyers have more opportunities than they may realize. Whether they’re considering a condominium, looking at a home that needs renovations, or struggling to save for a down payment, the right mortgage strategy can make all the difference.
For real estate professionals, understanding recent lending changes and available financing programs can help turn hesitation into opportunity.
Here are three important mortgage strategies that could help your buyers move forward with confidence in 2026.
1. Condo Financing: Understand the New Fannie Mae Rules Before Making an Offer
Condominiums can offer tremendous opportunities for buyers, particularly in Las Vegas, where high-rise living continues to attract homeowners and investors.
However, getting a buyer approved for a mortgage doesn’t automatically mean the condominium building qualifies for financing.
Fannie Mae introduced significant condominium lending changes in 2026 that every real estate professional should understand.
What’s Changed?
Limited Review Eliminated: Effective for mortgage applications dated August 3, 2026, or later, Fannie Mae retired the Limited Review process. Many condominium projects now require Full Review unless they qualify for a project-review waiver.
Investor Concentration Restrictions Removed: Fannie Mae eliminated its previous 50% investor-concentration limitation for established condominium projects, potentially expanding financing opportunities in buildings with significant investor ownership.
Higher HOA Reserve Requirements Coming: Beginning with Full Review applications dated January 4, 2027, the minimum annual reserve allocation generally increases from 10% to 15% of budgeted assessment income, unless an eligible reserve study supports an alternative.
What Buyers and Realtors Should Watch
Before submitting an offer, it’s important to evaluate the condominium association’s financial and operational condition.
Key considerations include HOA reserves, master insurance coverage, deductibles, special assessments, pending litigation, critical repairs, and hotel-style rental operations.
A condominium building that qualified for financing previously may not automatically qualify under today’s guidelines.
My Recommendation
Before your buyer commits to a condominium, send me the building name and address.
With extensive experience financing Las Vegas high-rise properties, I can help identify potential financing obstacles early, determine which project-review pathway may apply, and coordinate the documentation needed.
The goal is simple: identify problems before they jeopardize a closing.
2. Renovation Loans: Turn a Fixer-Upper Into a Smart Buying Opportunity
How many times have buyers walked away from a home because the kitchen was outdated, the bathrooms needed remodeling, or the property required repairs?
What many buyers don’t realize is that they may be able to finance the purchase and eligible renovations together in one mortgage.
Two Fannie Mae programs worth exploring are HomeStyle Refresh and HomeStyle Renovation.
HomeStyle Refresh: Finance Smaller Improvements
HomeStyle Refresh allows eligible buyers to finance improvements totaling up to 15% of the property’s as-completed appraised value.
For example:
As-completed appraised value: $500,000
Maximum improvement financing at 15%: $75,000
Eligible projects may include kitchen updates, bathroom improvements, energy efficiency upgrades, and certain repairs.
Actual financing is subject to the purchase-price calculation, loan-to-value limitations, underwriting approval, and program guidelines.
HomeStyle Renovation: A Solution for Larger Projects
For properties requiring more substantial improvements, HomeStyle Renovation may offer additional flexibility.
The program allows qualified borrowers to combine eligible renovation costs and purchase financing into one mortgage.
Depending on eligibility, borrowers purchasing a one-unit primary residence may qualify with as little as 3% down.
Renovation projects require proper documentation, including contractor information, detailed project bids, appraisal support, and applicable contingency funds. Funds are managed through an escrow and disbursement process rather than provided as unrestricted cash.
Why This Matters in Las Vegas
A home with outdated finishes may offer a buyer the opportunity to purchase in a desirable neighborhood without paying a premium for someone else’s renovations.
Instead of immediately eliminating properties that need improvements, buyers should evaluate whether renovation financing could make the numbers work.
My recommendation: Before your buyer rejects a home that needs work, let’s evaluate the cost of purchasing and renovating it compared with buying a move-in-ready property.
Sometimes the best opportunity is the home everyone else overlooks.
3. Low Down Payment Mortgage Programs: You Don’t Always Need 20% Down
One of the biggest misconceptions in real estate is that buyers need a 20% down payment to purchase a home.
That simply isn’t true.
Fannie Mae’s HomeReady mortgage program offers opportunities for eligible buyers who have limited savings but are financially prepared for homeownership.
HomeReady Mortgage Benefits
As little as 3% down: Qualified buyers may purchase a home with a significantly smaller down payment than they expected.
Reduced mortgage insurance: HomeReady offers lower mortgage insurance requirements, with cancellation available when eligibility conditions are met.
Flexible sources of funds: Eligible gifts, grants, and down payment assistance may help cover required funds.
Potential $2,500 credit: Qualifying very low-income first-time homebuyers may receive a $2,500 credit toward down payment or closing costs, subject to applicable income limits and program dates.
Additional qualifying income opportunities: Eligible boarder income and accessory dwelling unit rental income may be considered when documentation requirements are satisfied.
What Buyers Need to Understand
A 3% down payment doesn’t mean buyers can purchase a home without closing costs or other financial responsibilities.
Income limitations, credit qualifications, debt-to-income ratios, employment documentation, and available assets all play important roles.
Additionally, buyers cannot automatically count income from a roommate they intend to have in the future. Qualifying rental arrangements must satisfy specific lending guidelines.
Explore All Available Financing Options
HomeReady isn’t the only solution.
Depending on the buyer’s financial profile, we can also compare conventional loans, FHA financing, VA loans for eligible borrowers, and available down payment assistance programs.
The important thing is to evaluate the buyer’s actual qualifications rather than assume they need another year or two to save.
My recommendation: Before your buyer decides homeownership is financially out of reach, let’s calculate their estimated monthly payment, required down payment, and total cash needed to close.
They may be much closer to purchasing than they think.
4. Why the Right Mortgage Strategy Matters Before the Offer
Successful real estate transactions begin long before a purchase agreement is signed.
In my experience, some of the most avoidable financing challenges happen when buyers find a property first and investigate their financing options afterward.
Whether we’re evaluating a condominium association, discussing renovation costs, or determining how to maximize down payment assistance, early planning can make the entire transaction smoother.
For Realtors, this means greater confidence when advising clients, fewer financing surprises, and a stronger opportunity to keep transactions moving toward closing.
For buyers, it means having a clear understanding of their purchasing power and financing options before making a major financial commitment.
Let’s Build the Financing Strategy Before the Offer
Have a buyer who paused their home search because of limited savings? A listing that needs renovations? Or a condominium building you’re unsure about financing?
Let’s review it together before another opportunity gets overlooked.
With more than 25 years of mortgage lending experience and extensive expertise in Las Vegas condominium and high-rise financing, I’ve helped thousands of buyers navigate lending challenges and successfully reach the closing table.
My approach is straightforward: identify opportunities early, eliminate unnecessary obstacles, and deliver financing solutions that help buyers move forward confidently.
Whether you’re purchasing your first home, considering a renovation property, or evaluating a Las Vegas high-rise condominium, my team and I are ready to help.
Derek Parent Mortgage Banker | Priority Financial Network 702-354-1400
Let’s turn more opportunities into successful closings.
All loan programs are subject to borrower eligibility, credit approval, property requirements, lender availability, and current program guidelines. Program terms are subject to change.