Key Takeaways
- Fannie Mae adds a condo price adjustment of 0.750% of the loan amount when you put less than 25% down (LTV above 75%), 0.125% at 25% to 40% down, and 0% at 40% or more down.
- With 20% down and a 740 score, a condo’s total LLPA is 1.625% versus 0.875% for a single-family home, or about $2,400 more on a $320,000 loan.
- Using a rule of thumb of 0.25% of rate per point, that’s an estimated 0.19 percentage point higher rate, about 7.61% versus 7.42% as of Nov. 10, 2026.
As of November 2026, a conventional condo loan costs more than the same loan on a single-family house when you put less than 25% down: Fannie Mae charges an extra 0.750% of the loan amount, per the Fannie Mae Loan-Level Price Adjustment Matrix. For a 740 credit score with 20% down, that lifts the total adjustment from 0.875% to 1.625%. Added to the Nov. 10, 2026 average 30-year conventional rate of 7.201% (7.270% APR), that’s an estimated rate of about 7.61% for the condo versus 7.42% for the house, or roughly $41 more a month on a $320,000 loan. These are estimates; actual rates depend on your credit, down payment, property and lender.
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- Estimated condo vs. single-family rates (740 credit score)
- When the condo LLPA applies
- What the condo adjustment costs per month and at closing
- Condo project approval: the building matters too
- How we got these numbers
- FAQ
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Estimated condo vs. single-family rates (740 credit score)
This table uses a $400,000 purchase price and a 740 credit score, with rates built from the Nov. 10, 2026 Mortech average plus Fannie Mae’s LLPAs. For other scores, see mortgage rates by credit score.
| Down payment (LTV) | House LLPA | Condo LLPA (score + condo) | Estimated house rate | Estimated condo rate | Extra condo cost |
| 30% (70%) | 0.125% | 0.250% | About 7.23% | About 7.26% | +0.03% |
| 25% (75%) | 0.375% | 0.500% | About 7.30% | About 7.33% | +0.03% |
| 20% (80%) | 0.875% | 1.625% | About 7.42% | About 7.61% | +0.19% |
| 10% (90%) | 0.750% | 1.500% | About 7.39% | About 7.58% | +0.19% |
| 5% (95%) | 0.625% | 1.375% | About 7.36% | About 7.55% | +0.19% |
| 3% (97%) | 0.500% | 1.250% | About 7.33% | About 7.51% | +0.19% |
Today’s (November 11, 2026) average 30-year conventional rate is 7.227% (7.305% APR). The table stays fixed on the Nov. 10, 2026 average of 7.201% (7.270% APR) so the math can be checked. Loans under 20% down also need private mortgage insurance, which isn’t included here.
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When the condo LLPA applies
Loan-level price adjustments, or LLPAs, are one-time fees Fannie Mae charges lenders on the conventional loans it buys. They’re quoted as a percentage of the loan amount, or points. The Consumer Financial Protection Bureau notes that one point equals 1% of the loan amount. Your lender may charge the fee at closing or build it into a higher rate.
The condo adjustment is set by LTV only, so it’s the same at every credit score. Here is the condo row from Fannie Mae’s matrix dated 09.30.2026:
| LTV | Down payment | Condo LLPA |
| 60% or less | 40% or more | 0.000% |
| 60.01% to 75% | 25% to 39.99% | 0.125% |
| Above 75% | Less than 25% | 0.750% |
- The same condo row appears in the purchase, limited cash-out refinance and cash-out refinance tables, so refinancing a condo carries it too.
- Fannie Mae lists the condo charge under adjustments “applicable for all loans,” not only loans over 15 years, so it isn’t limited to 30-year terms in the current matrix.
- It doesn’t apply to co-ops or to detached condo units.
- LLPAs add together. The condo charge sits on top of the credit score and LTV charge, plus any others such as a second home.
- Fannie Mae waives all LLPAs, including the condo charge, for HomeReady loans and for first-time buyers with qualifying income at or below 100% of area median income (120% in high-cost areas).
Learn more in our guide to loan-level price adjustments.
What the condo adjustment costs per month and at closing
On a $400,000 purchase with a 740 score, the condo charge in dollars and its estimated effect on principal and interest look like this:
| Down payment | Loan amount | Condo charge in dollars | Est. house payment | Est. condo payment | Monthly difference |
| 25% | $300,000 | $375 | $2,056 | $2,062 | About $6 |
| 20% | $320,000 | $2,400 | $2,220 | $2,261 | About $41 |
| 10% | $360,000 | $2,700 | $2,490 | $2,536 | About $46 |
| 3% | $388,000 | $2,910 | $2,667 | $2,717 | About $50 |
Payments are principal and interest only. The rates are estimated interest rates, not APRs, and are not offers. Condo owners also pay HOA dues, which a lender counts when it checks your debt-to-income ratio. The biggest jump in condo pricing happens between 25% and 20% down, where the charge rises from 0.125% to 0.750%.
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Condo project approval: the building matters too
With a condo, the lender checks the whole project, not just your unit. Fannie Mae’s Selling Guide section B4-2.1-01 (updated Aug. 5, 2026) says the lender must determine that the project meets Fannie Mae’s eligibility requirements before the loan is delivered. Depending on the project, that can be a Full Review through Fannie Mae’s Condo Project Manager, a Project Eligibility Review Service (PERS) review, or an FHA project approval.
Some projects skip the full review. Under section B4-2.1-02, review is waived for detached condo units, two- to four-unit projects, and five- to ten-unit projects that aren’t part of a larger development. If a building doesn’t meet the standards, you may need a different loan type. Our guide to buying a condo with an FHA, VA or conventional loan covers the options.
How we got these numbers
We started with the Mortech national average 30-year conventional purchase rate of 7.201% (7.270% APR) for Nov. 10, 2026. For the house, we used the purchase grid LLPA for a 740 to 759 Classic FICO score at each LTV in the Fannie Mae Loan-Level Price Adjustment Matrix (dated 09.30.2026). For the condo, we added the matrix’s condo adjustment for the same LTV. We converted points to rate with a rule of thumb of about 0.25 percentage point of rate per 1 point on a 30-year loan. That conversion is our estimate, and lenders price points differently. The Mortech figure is an average, not a quote for a specific borrower, so focus on the gap between the house and condo columns. All results are estimates. Estimated rates are interest rates, not APRs: they don’t include lender fees, points or mortgage insurance, and they aren’t offers.
FAQ
Sources: Fannie Mae Loan-Level Price Adjustment Matrix; Fannie Mae Selling Guide B4-2.1-01; Fannie Mae Selling Guide B4-2.1-02; Consumer Financial Protection Bureau, lender credits and points; Mortech national average rates, Nov. 10, 2026.
