07/30/2025
🏢 Condo Financing 101: What Makes a Condo Warrantable vs. Non-Warrantable?
Not all condos are created equal—some can’t even qualify for traditional financing. 😬
Here’s the breakdown:
✅ Warrantable Condos
✔ Eligible for conventional loans
✔ Lower rates, lower down payments
✔ Faster closings
✔ Typically 50%+ owner-occupied
✔ HOA is healthy—no lawsuits, solid reserves
✔ No short-term rentals or hotel-style operations
⚠️ Non-Warrantable Condos
⛔ Not eligible for Fannie/Freddie loans
💰 Require non-QM or portfolio financing
📈 Higher rates, stricter rules
🚩 Red flags include:
• On-site rental desk
• Pending HOA litigation
• Too many renters
• Commercial use over 35%
• Condotel setup or timeshares
💡 Agent Tip: Always make sure a condo questionnaire is requested early and know what to look for. Got a tricky property? We’ve got solutions.
📩 DM me or call/text if you need help navigating a complex condo deal.
Comment "CONDO" if you want me to send you a one pager for your records
Chris Kouvatsos | Echelon Home Loans
📞 941-806-7625 | 📧 [email protected]
