Condos are the most affordable HUD homes in the Denver metro, and they trip more buyers than any other property type, because FHA does not lend on a condo just because it is a condo. It lends on a condo in a project it has approved.
How to read the listing
- IN or IE: HUD has confirmed the project is FHA-approved. Standard FHA financing works. The $100 down incentive can apply.
- UI: the project is not approved, or its approval expired, or the unit failed for another reason. FHA needs a single-unit approval, or you need a different loan.
Check the project yourself
HUD keeps a public condo lookup where you search by project name or ZIP. Status “approved” with a future expiration date is what you want. “Expired” or “rejected” means single-unit approval or no FHA. Your lender can check in five minutes; ask before you bid.
Single-unit approval
Since 2019 FHA can approve one unit in an unapproved project if the project passes a shorter test: at least 50% owner-occupied, no more than 10% of units owned by one investor, adequate reserves, no more than 15% of units 60 days delinquent on dues, and no disqualifying litigation. Your lender submits it with the HOA questionnaire and budget.
- Time: two to four weeks on top of normal underwriting. On a 45-day HUD clock, start it the day your bid is accepted.
- Cost: the HOA questionnaire fee, usually $150 to $300.
- Risk: if the project fails the test, your loan is denied, which is a documented full-refund cancellation. The refund rules.
If FHA will not work
- VA: has its own approved-condo list. Some projects are on VA’s list and not FHA’s.
- Conventional: Fannie Mae and Freddie Mac do a limited review on many established projects with 5% to 10% down. This is the most common answer for UI condos.
- Cash. Investors buying UI condos are usually cash for this reason.
A plain-English example
A first-time buyer bid on a UI condo in Lakewood at $215,000. Her lender found the project’s FHA approval had expired in 2021. He submitted a single-unit approval on day 3, the HOA returned the questionnaire on day 12, FHA approved on day 24, and she closed on day 43 with a 3.5% down FHA loan. If the HOA had been slow she would have bought a $750 extension. Extensions explained.
Not sure which rule applies to the house you are looking at? Call or text 303-955-4220. A live person answers, and the answer is free.
Written and reviewed by
Brian Lee Burke, Colorado HUD home specialist and team leader
Licensed Colorado real estate professional since 2002 · REALTOR® · Team leader and licensed broker of the Kenna Real Estate Group at Keller Williams DTC, a HUD-registered group that regularly bids on HUD homes · Author of The Real Estate Playbook and Mastering Real Estate. Brian’s full HUD biography.
Last reviewed: September 12, 2026 · Sources: HUD Home Store (hudhomestore.gov) and HUD program guidance, HUD Handbook 4000.1, REcolorado MLS data via kennarealestate.com, and the Kenna Real Estate Group’s own HUD transaction files.
Contact: call or text 303-955-4220 or homes@kennarealestate.com. During office hours you reach a live local Kenna real estate professional, not a robot or a national call center. Brokerage: Kenna Real Estate Group at Keller Williams Realty DTC, LLC, 6300 S Syracuse Way, Suite 150, Centennial, CO 80111. Each Keller Williams office is independently owned and operated. The Kenna Real Estate Group is an independent real estate team and is not affiliated with or endorsed by HUD or any government agency; official property information comes from HUD Home Store. Equal Housing Opportunity.
Free guide, PDF
$100 Down: The HUD Home Financing Guide
The $100 down rule, CHFA, HUD paying your closing costs: the stack that gets a buyer in for about $1,000. 14 pages, free.
Why you want it before you bid:
- Which listings qualify for $100 down and how to spot them (the IN and IE codes)
- What you still pay at closing, line by line, with a real example
- How $100 down stacks with CHFA, metroDPA and Good Neighbor Next Door
Find every home available, not just HUD homes
Advanced home search: every listing on the Colorado MLS, with the full filters, on kennarealestate.com.
Opens kennarealestate.com, the Kenna Real Estate Group’s full MLS search. HUD homes only? Use the tiles and the map on this site.
Ask us about HUD homes
Tell us what you are working with and we will tell you honestly whether a HUD home is the way to get there. No cost, no obligation, and nobody sells you anything.
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