Non-warrantable Condos

NON-WARRANTABLE CONDOS

We do not require Fannie or HUD project approval.

•    What if there is less than 51% owner concentration?  That’s okay.

•    What is there is less than 51% owner concentration and we’re doing an investment purchase? That’s okay too.

•    What if one owner owns more than 10% of the units?  That’s okay.

•    What if the HOA is still in the control of the builder?  That’s okay.

•    What if there is more than a 15% deficiency in HOA dues?  This might be an issue but it does not summarily prohibit lending in the project…we will want to determine the HOA’s solvency.

•    What if there is litigation on the project?  This might be an issue but it does not summarily prohibit lending in the project…we will want to determine what the litigation is about, how much money is at issue, etc.

Call or email Derek to learn more about lending with litigation in a project.