I 
118TH CONGRESS 
1ST SESSION H. R. 4465 
To amend the National Housing Act to authorize insurance of certain mort-
gages to finance repairs and improvements to condominium projects, 
and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 3, 2023 
Ms. WASSERMAN SCHULTZ (for herself and Mr. POSEY) introduced the 
following bill; which was referred to the Committee on Financial Services 
A BILL 
To amend the National Housing Act to authorize insurance 
of certain mortgages to finance repairs and improve-
ments to condominium projects, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Making Condos Safer 
and Affordable Act of 2023’’. 
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SEC. 2. INSURANCE OF MORTGAGES FOR CONDOMINIUM 
ASSOCIATIONS TO FINANCE REPAIR AND RE-
PLACEMENT OF COMMON FACILITIES OF 
CONDOMINIUM PROJECTS. 
Section 234 of the National Housing Act (12 U.S.C. 
1715y) is amended— 
(1) in subsection (a), by inserting ‘‘and pre-
serving’’ after ‘‘increasing’’; 
(2) in the first sentence of subsection (b), by in-
serting before the period at the end the following: ‘‘, 
and except that the term ‘mortgage’, for the pur-
poses of subsection (l), includes a loan financing the 
costs of a rehabilitation, alteration, repair, improve-
ment, or replacement of any common system, infra-
structure, facility, feature, portion, or area serving a 
condominium project and that is secured by future 
lien-based mandatory unit owner payments required 
pursuant to State statute, a recorded declaration of 
covenants, or lawful rule, by-law, or guideline adopt-
ed by the governing body of the condominium 
project, real property, or a combination thereof’’; 
(3) by adding at the end the following new sub-
section: 
‘‘(l) INSURANCE OF MORTGAGES TO FINANCE RE-
PAIRS AND REPLACEMENTS OF COMMON FACILITIES.— 
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‘‘(1) IN GENERAL.—In addition to mortgages 
insured under the other provisions of this section, 
the Secretary may insure, in the discretion of the 
Secretary and under such terms and conditions as 
the Secretary may prescribe, a mortgage— 
‘‘(A) that finances, in the case of condo-
minium projects, the costs of a rehabilitation, 
alteration, repair, improvement, or replacement 
of any common system, infrastructure, facility, 
feature, portion, or area serving the project; 
and 
‘‘(B) under which the mortgagor is the 
governing body of the condominium project. 
‘‘(2) LOAN LIMIT.—To be eligible for insurance 
under this subsection, a mortgage may not involve a 
principal obligation in an amount exceeding 90 per-
cent of the cost of the proposed rehabilitation, alter-
ation, repair, improvement, or replacement project.’’; 
and 
(4) in subsection (h), by inserting ‘‘or (l)’’ after 
‘‘subsection (d)’’. 
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SEC. 3. INSURANCE OF MORTGAGES FOR OWNERS OF CON-
DOMINIUM UNITS TO FINANCE SPECIAL AS-
SESSMENTS. 
(a) SECTION 203(k) REHABILITATION LOANS.—Sec-
tion 203(k) of the National Housing Act (12 U.S.C. 
1709(k)) is amended— 
(1) in paragraph (2)— 
(A) in subparagraph (A)— 
(i) in clause (ii), by striking ‘‘or’’ at 
the end; 
(ii) in clause (iii), by striking ‘‘and’’ 
at the end and inserting ‘‘or’’; and 
(iii) by adding at the end the fol-
lowing new clause: 
‘‘(iv) in the case of a dwelling unit in a 
condominium and notwithstanding any other 
law, regulation, or guideline of the Secretary, 
including subpart C of part II of the FHA Sin-
gle Family Policy Handbook 4000.1 of the De-
partment of Housing and Urban Development, 
the payment of a non-regular assessment 
charged by the governing body of the condo-
minium project to the unit owner to cover costs 
of a future rehabilitation, alteration, repair, im-
provement, or replacement of any common sys-
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tem, infrastructure, facility, feature, portion, or 
area serving the project; and’’; and 
(B) in subparagraph (B), by inserting ‘‘or 
the funding of reserves for future project-level 
improvements or repairs,’’ after ‘‘in connection 
with a structure,’’; 
(2) in paragraph (3)(A)— 
(A) by inserting ‘‘the greater of (i)’’ before 
‘‘the sum of the estimated cost of rehabilita-
tion’’; and 
(B) by inserting before the semicolon at 
the end the following: ‘‘, or (ii) the Secretary’s 
estimate of the value of the property after reha-
bilitation; except that in no case shall the prin-
cipal obligation exceed 115 percent of the Sec-
retary’s estimate of the value of the property 
after rehabilitation’’; 
(3) by redesignating paragraphs (5) and (6) as 
paragraphs (6) and (7); and 
(4) by inserting after paragraph (4) the fol-
lowing new paragraph: 
‘‘(5) The Secretary shall streamline regulations and 
guidelines applicable to verification of rehabilitation and 
repair plans, management of rehabilitation work, disburse-
ment of loan proceeds, and certification of work comple-
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tion for any rehabilitation loan insured under this sub-
section for purposes of payment of a non-regular assess-
ment described in paragraph (2)(A)(iv) or payment of re-
serves for future project-level improvements or repairs de-
scribed in paragraph (2)(B) to account for management 
of such rehabilitation work or reserves by the governing 
body of the condominium project.’’. 
(b) TITLE I PROPERTY IMPROVEMENT LOANS.—Sec-
tion 2 of the National Housing Act (12 U.S.C. 1703) is 
amended— 
(1) in the first sentence of subsection (a)— 
(A) by inserting ‘‘(iii)’’ before ‘‘financing 
the preservation of historic structures’’; and 
(B) by inserting before the period at the 
end the following: ‘‘; and for the purpose of (iv) 
financing, in the case of a dwelling unit in a 
condominium and notwithstanding any other 
law, regulation, or guideline of the Secretary, 
including subpart C of part II of the FHA Sin-
gle Family Policy Handbook 4000.1 of the De-
partment of Housing and Urban Development, 
the payment of a non-regular assessment 
charged by the governing body of the condo-
minium project to the unit owner to cover costs 
of a future rehabilitation, alteration, repair, im-
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provement, or replacement of any common sys-
tem, infrastructure, facility, feature, portion, or 
area serving the project’’; and 
(2) in subsection (b)(1)— 
(A) in subparagraph (A)(i)— 
(i) by striking ‘‘$25,000’’ and insert-
ing ‘‘$55,000’’; and 
(ii) by inserting before the semicolon 
the following: ‘‘or a non-regular assess-
ment charged by the governing body of the 
condominium project to the unit owner to 
cover costs of rehabilitation, alteration, re-
pair, improvement, or replacement of any 
common system, infrastructure, facility, 
feature, portion, or area serving the 
project’’; and 
(B) in the matter after and below subpara-
graph (G), by adding at the end the following: 
‘‘The Secretary shall, by regulation, annually 
increase the dollar amount limitations in sub-
paragraphs (A)(i), (B), and (F) (as such limita-
tions may have been previously adjusted under 
this sentence) in accordance with the Consumer 
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Price Index for All Urban Consumers (CPI- 
U).’’. 
Æ 
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