What Is A Non-Warrantable Condo? When Do I Need It?
Are you looking to buy a new construction unit in a condominium but are unable to get financing?
Buying a new construction condo is a great investment. As in most cases, you’ll be buying at ground floor pricing. All your amenities are brand new and usually buildings allow you to put your own finishing touches on your home.
While it’s a great investment, getting a mortgage for a new construction unit can be a challenge. For example, if not enough units have been sold in the condo, the condo may be considered a non-warrantable condo.
A non-warrantable condo is when a developer still holds ownership of the association. This means the builder has not met the percent of unit sales within a building for Fannie and Freddie Mac to recognize the building as having met standard requirements and are considered more risky investments, according to Fannie Mae and Freddie Mac’s definition.
As a mortgage broker, we work with markets that offer specialty products to help you get financing for your dream home even if it’s a non-warrantable condo loan.
Need Non-Warrantable Condo financing? Let me show you the best options for your Condo Buyers.
- Easy condominium approval with a limited review process
- Files with limited review response in AUS need only a minimum evaluation
- Up to 90% LTV primary residences
- Up to 75% LTV for second homes
- Application to closing in 35 days or fewer
Contact us for more information at Dkrebs@Championsmortgage.com or learn more about David A. Krebs here.