PUD vs. Condo, what’s the difference? » Mortgage Masters Group

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A "site condo" is most likely a freestanding condo (not attached to other units) and is a single unit located on condo association land. You can also have PUD freestanding units where the land is owned by the building owner and the owners pay a monthly/quarterly fee for all exterior maintenance, very similar to and often confused with condos.

I would appreciate some clarification on how you determine the difference between a condo and a PUD for Fannie Mae purposes. I have attached the Fannie Mae definitions from the 2007 Sellers Guide for both condos and PUDs and the definitions of both from GMAC’s underwriting manual.

The main difference with PUDs as opposed to single family homes not in a PUD is the rules that homeowners must abide by. Even though you live in a single family home with your own yard and garage, you will still have to listen to the rules set forth by the association.

PUD Project Definition. A PUD is a project or subdivision that consists of common property and improvements that are owned and maintained by an HOA for the benefit and use of the individual pud units. For a project to qualify as a PUD for the purposes of this policy, all of the following requirements must be met: each.

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The only difference between a PUD and a Condo is in the ownership of the common areas. What you described here: "The common areas that are within the development are owned jointly by all the residents, so if there were 50 homes then each owner would have 1/50th ownership" is pretty much the text book definition of condo ownership, not PUD.

Several different types of housing exist, including what’s known as the detached condominium. At its most basic, a detached condo is still a single-family home, but it’s legally classified as a.

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