Unwarranted Property - Posted by Ann Watters

import · June 11, 2005, 11:30pm

Posted by Seumas Gagne on July 06, 2006 at 16:18:22:

Wells Fargo and Homebase Mortgage (powered by Countrywide) will
finance unwarranted condos.

import · June 11, 2005, 11:30pm

Posted by Ann Watters on June 11, 2005 at 23:30:52:

I am looking to purchase a condo that is “unwarranted property”. What does that mean? If I purchase the condo and decide to sell in 3-5 years, how will that affect me?

import · June 12, 2005, 9:49pm

Re: Unwarranted Property - Posted by Devon Daughety

Posted by Devon Daughety on June 12, 2005 at 21:49:16:

A “non-warrantable” condo as they are usually called in the mortgage industry is a condo that is non warranted by Fannie Mae guidelines or lender guidelines. Fannie Mae/lenders have a certain ratio that a certain % of the building must be owner occupied. Non warrantable condos mean that it exceeds that ratio. It has nothing to do with deciding to sell in 3-5 years, I don’t understand how that would effect you. Effecting you will be lining up financing as most lenders don’t want to touch non warrantable condos

import · June 16, 2006, 11:47am

Re: Unwarranted Property - Posted by Mathew Grady

Posted by Mathew Grady on June 16, 2006 at 11:47:22:

I am a real estate agent in Baton Rouge, LA and we did not have a problem get an investor to give my client a loan on an unwarranted condo; we had a problem get Private Mortgage Insurance on the condo. So, If you have anything related to this situation, try and get an 80/20 loan or an 80/10 loan.

import · August 16, 2005, 1:24pm

Re: Unwarranted Property - Posted by Marty Brown

Posted by Marty Brown on August 16, 2005 at 13:24:36:

Are condo’s and Townhouse condo’s looked upon the same way by lenders?

And shoulda townhouse ( non condotownhouse) be hit with any “non-warrantable” hiys by my lender?

I am buying a townhouse and the lender is saying my townhouse is nonwarrantable beacause it is in a PUD?

Thanks you so much for your help.

import · June 13, 2005, 5:21pm

Re: Unwarranted Property - Posted by Ann Watters

Posted by Ann Watters on June 13, 2005 at 17:21:12:

Thank you for your reply. Does this mean as more units are converted from apartments and sold the ratio changes. This in turn would change the status of the property which would make it easier for any buyer to obtain financing and not be limited to few lenders. Am I right in this thinking?

In terms of selling in 3-5 years, I was more concerned with would it be harder to sell in that potential buyers would have a hard time in getting financing with a “non-warrantable” condo. The units that I am looking at buying the real estate company recommended a couple Finance Companies that handle “non-warrantable” condos. In regards to the finance company they recommended are there any red flags I need to look out for?

import · August 24, 2005, 5:02pm

Re: Unwarranted Property - Posted by angie

Posted by angie on August 24, 2005 at 17:02:21:

i am a mortgage broker and encountering problems w/ that at this time. Is there any lenders you can refer me to?

Thanks,
angie

import · September 13, 2005, 6:07pm

Re: Unwarranted Property - Posted by Patricia Wishinsky

Posted by Patricia Wishinsky on September 13, 2005 at 18:07:18:

Does any one know what lender will go up to 70%on a nonwarrnted condo Please help