Condo's

Condos are a commodity throughout the state of Florida, especially in heavily populated areas and vacation destinations. We work with homebuyers and investors alike to secure financing on all types of condos. Our team works with condo associations not only along the Emerald Coast of Florida, but also throughout the rest of the Sunshine State and 40+ others.

Condo lending can be more complex than most standard loans. We offer unique loan products for each type of condo and can help you find the right fit for a loan that will get approved for and meet these guidelines.

All condos are considered to be either “warrantable condos” or “non-warrantable condos.” When going through the process of buying a condo, lenders require that certain documents be gathered from the Homeowners Association and evaluated by underwriters prior to loan approval. The main 3 things are:

1. Condo Questionnaire(Fannie Mae Form 1076)
2. Budget/Profit and Loss Statement
3. Maser Insurance Policy

These documents are requested immediately on your behalf as soon as we identify a specific condo project. These will identify precisely if it is a warrantable or non-warrantable condo. Bear in mind, we have a database with thousands of condos across the country to search to check on your individual condo status in the preliminary. 

Give us a call to discuss your specific condo- we can get an answer on most condo projects the same day!

Simply put, warrantable condos are those that are approved to be bought in the secondary market by government backed agencies such as Fannie Mae and Freddie Mac. These warrantable condos are available for conventional financing and meet the standard requirements set forth by Fannie Mae per the financials and condo questionnaire.

In densely populated areas and vacation destinations, non-warrantable condos are extremely common in the state of Florida. The condo questionnaire(Fannie Mae Form 1076) will spell out the answers to the questions to determine- is this a warrantable or non warrantable condo? 

Condos can be classified as non warrantable for a number of reasons. Some of the top include:

• Require membership, such as a golf club or country club.
• Operate as a hotel or motel, also known as a condotel.
• Be part of a continuing care facility.
• Active Litigation/Party to a lawsuit.
• Allow single person or business to own more than two units in a development (for developments with 20 units or less) or 20% of all the units in a project (for developments with 21 units or more).
• Feature non-residential or commercial space exceeding 35% of the total space in the project.
• Have more than 15% of the units in the project 60 days (or more) delinquent on their HOA dues.
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Most lenders will not finance these non warrantables once the status is identified from documents required from the Homeowners Association. Not to worry- we have options for financing these units, regardless of warrantable or non warrantable status.

A “condotel” or condo hotel is a residential property type that falls under the Non warrantable condo category. These properties maintain a front desk and not only allow short term rentals, but in most cases facilitate the bookings internally. These condos operate as a hotel in some capacity, and are common in vacation areas such as Destin, Panama City, Orlando, Miami, etc. Fieldstone Funding partners with 5+ lenders across the country to help our buyers secure financing on this niche property type.