How Non-Warrantable Condo Loans Work
A non-warrantable condo is one that doesn't meet Fannie Mae or Freddie Mac project rules, so many lenders won't finance it. The issue is usually the building or the HOA, not you. We do a lot of these, and we know which lenders to call.
Who it can help. Buyers, owners who want to refinance, and real estate agents with a condo deal that just hit a wall.
Common reasons a condo is non-warrantable. Pending litigation, too much commercial space, one owner holding too many units, too many owners behind on dues, low HOA reserves, insurance gaps or hotel-style operations.
How it gets financed. Portfolio and non-QM lenders can set their own project rules, so a condo one lender turns down may work for another. In some cases, an FHA single-unit approval may also be an option.
Know the tradeoffs. These loans can come with higher rates, larger down payments or more reserves than a conventional loan. A non-warrantable condo can also be harder to refinance or sell later, so we'll walk you through that first.
What to have ready. The condo address, the HOA or management company contact, and any HOA budget, insurance or litigation details you have. Call us before you make an offer if you can.
Have a condo in mind? Call or text (303) 931-6776.
Not all programs are available in every state. All loans are subject to credit approval. Rates, terms and conditions vary by program.
Stephanie Cramm, NMLS #243972 | David Cramm, NMLS #565968 | Xpert Home Lending, Inc. NMLS #2179191 | Equal Housing Lender