Condotel Financing Mortgages

This BLOG On Condotel Mortgages Was UPDATED On June 23, 2017

What’s New About Condotel Mortgages?

Gustan Cho Associates are experts in Condotel Mortgages and Non-Warrantable Condominium Financing.

• We can help Buyers who are interested in Condo-Hotel units or Condotels
• Condotel Unit owners can also refinance their condo hotel units

In this article, we will discuss and cover Condotel Mortgages: Financing For Condo Hotel Units.

Condotel Mortgages And Application Process

The Condotel Application Process is a two-step mortgage process:

• The first stage of the application process is that the condotel unit buyer needs to be qualified
• The second stage is that the condotel unit and condo-hotel complex needs to be approved

Condotel Mortgages: Condo Hotel Complex

• Condotel Lenders want to make sure that the Condo Hotel Complex is in good structural condition and financial condition
• Condominium Questionnaire needs to be completed by the Condo Hotel Complex HOA Manager
• Condotel Lender is portfolio lenders and wants to make sure that the Condo Hotel Complex does not have major pending litigation and has sufficient reserves
• Condotel Unit Mortgage Applicants can apply online on this website by clicking APPLY NOW 

Condotel Pre-Approval Process is similar to residential mortgages like FHA and Conventional Loans.

Condotel Financing Requirements

There is no cap on investor concentrations with Condotel Financing mortgage loans at all.

• Minimum credit scores borrowers need to have is 680 FICO
• One year reserves for the main residence and proposed Condotel purchase P.I.T.I.
• The loan to value with a Condo Hotel purchase mortgage loan is a 75% loan to value on primary and second home condotel mortgages
• 60% Loan To Value on Condotel Mortgages if the borrower already owns two or more properties
• A single entity may own more the 10% of the condotel units in a project
• The loan to value with a condotel refinancing is 75% for rate and term

Condo Hotel unit owners need cash-out refinance mortgages on a free and clear unit, the maximum loan to value on a cash-out refinance is that is 50% loan to value.

Minimum Credit Scores on Condotel Financing

There is a minimum credit score requirement.

•  The minimum credit score to qualify for Condotel Financing is 680 FICO
• If your credit scores fall below that, I can help you boost your credit scores or repair your credit so we can get you to the 680 credit score requirement
• We offer 3/1 ARM, 5/1 ARM, and 7/1 ARM Condo Hotel Mortgage Loan Programs, amortized over 30 years
• There is no maximum loan size on Condotel Financing Mortgage Loans