About Florida Warrantable Condos
Florida Condominium Background
The Florida Fannie Mae and Freddie Mac set the guidelines for conventional loans and FHA for FHA loans and VA for VA loans. For a Florida condo to qualify for a loan, it must meet Fannie Mae, Freddie Mac, FHA, or VA requirements.
Steps to determine if a Florida Condo is Warrantable
There is no official website or resource that lists Florida warrantable and Florida non-warrantable condo complexes or projects. However, there are several steps Florida mortgage applicants can be take to determine the eligibility of a Florida condo that include:
1. Ask the property management company or the real-estate selling agent if the complex is considered “Warrantable.”
2. See if the condominium complex has met Warrantable Standards:
- Fannie Mae approved condos- https://www.fanniemae.com/singlefamily/project-eligibility
- FHA approved condos- https://entp.hud.gov/idapp/html/condlook.cfm
- VA approved condos- https://vip.vba.va.gov/portal/VBAH/VBAHome/condopudsearch
3. Have Florida mortgage lenders provide you with a Condo Cert also known as the Florida Condo Questionnaire to be completed by the HOA or Property Management Company.
FLORIDA CONDO LENDERS FOR WARRANTABLE AND UNWARRANTABLE CONDOS!!
Options for Florida Non Warrantable Condos
Just because a Florida condominium is Non-Warrantable that does not mean you will not be able to aquire Florida mortgage approval!! To see our financing for Florida Non-Warrantable condos, Click Here!
Florida Non Warrantable Condo Approvals
• Non Warrantable Loan amounts from $100,000 to $3,000,000
• Income producing second home allowed
• Purchase as low as 20% down
• Refinance up to 75%
• Cash out refinance up to $1,000,000
• No seasoning requirement for refinance
• Fixed rate up to 30 years
• Adjustable rate as 3/1, 5/1, or 7/1
• 1 Year CMT, Constant Maturity Treasury index
• 2/2/6 Caps
• Credit score as low as 680
• No credit or limited credit allowed
• Escrows can be waived
• No prepayment penalty
What is a Florida Warrantable Condo?
The term “Warrantable” means a Florida condominium complex has features that lenders view as favorable in minimizing their risk exposure. These features protect a complex from future hazards and situations that could threaten the value of the individual units. Warrantable refers to the condominium complex as a whole, not the individual units.
Features of a Florida Warrantable Condo Project
For a Florida condominium complex to be considered “Warrantable,” it generally must meet the following requirements:
• For new and currently converted construction, 70% of the units must be pre-sold
• The HOA must have at least 10% of its budgeted income designated for reserves
• Adequate insurance coverage for liability, fidelity, and a master policy for building
• HOA budget review and Most of the units are owner occupied or second homes; not investment properties.
• 15% or less of the units can be 30 days delinquent on HOA dues
• No more than 10% of a project can be owned by a single entity
• No more than 20% of the project can consist of non-residential space
• On established and existing projects, at least 90% of the units must be sold