Non-Warrantable Condo Mortgage

We offer the best finance in Hoboken, NJ – Please see licensing info below for applicable states

Finding it hard to finance your client’s condo? Talk to us. We finance Non-Warrantable Condo projects. We can also help your condo project become FNMA eligible.

We all know limited mortgage products have become in recent years, especially for condos. That’s why we are offering signature, Non-Agency mortgage programs that target the special needs and requirements of Condominium buyers. Our proprietary program offers flexibility and fewer restrictions.

condoIt is important for buyers and borrowers to understand that if a condo project is non-warrantable, it doesn’t mean there is anything wrong with the property. It just means there is some particular detail that does not meet FNMA or other guidelines. Northstar Funding has access to lenders who specialize in these types of loans with very competitive interest rates.

The ownership of condo units by investors is increasing in many areas because of the rise in popularity of Airbnb and other short-term rental platforms. The real estate market is always changing, and Northstar adjusts with the market.

Loan-to-value ratios and other parameters are highlighted below:

FNMA Warrantable Condo Projects

  • No cap on investor concentrations
  • Up to 97% LTV
  • A single entity may own up to 10% of the units in a project
  • Projects may use up to 20% of the total space for non-residential purposes a Minimum 10% budget reserves
  • Pre-sale eligibility requirement for new condominiums is 70%

Non-Warrantable Condo Projects

  • Up to 80% LTV
  • Project may have up to 60% investor concentration
  • Lower budget reserves are acceptable
  • HOA delinquencies counted based on 60 day delinquencies versus 30 days per FNMA
  • Certain frivolous litigation may be considered on a case by case basis