What Makes a Condo Warrantable vs. Non-Warrantable?

Understanding Condo Warrantability and Its Impact on Your Mortgage When purchasing a condo, the mortgage process involves additional considerations beyond standard homebuying factors like your credit score, interest rate, and loan program. One critical aspect is the Homeowners’ Association (HOA), which dictates property rules, maintenance responsibilities, and financial requirements. Early in the process, you’ll need […]

Condo Litagation Loans

Condominium units in projects where the Homeowners Association (HOA) is involved in pre-litigation, mediation/arbitration, or formal litigation are classified as “non-warrantable” by Fannie Mae (FNMA). As a Government-Sponsored Entity (GSE), Fannie Mae’s primary function is to provide liquidity to the nation’s mortgage market. Since non-warrantable condominium loans cannot be sold to Fannie Mae, very few […]

Condominium Litigation When Getting A Mortgage

Condominium litigation can be a problem when getting a mortgage. What if a condominium has litigation against it and you want to buy it? To get a loan approved there are certain things a mortgage lender has to document or the loan may be denied. A mortgage lender has to prove that the litigation has […]