Florida Non-Warrantable Condo Financing When Conventional Lenders Say No!

Florida Non-Warrantable Condo Loans Explained

We Fund Projects with SB 4-D / SIRS Reserve Shortfalls, Coastal Condotel Operations, HOA Litigation, and High Investor Ratios.

Florida’s condominium market has entered a strict regulatory climate. Between mandatory Structural Integrity Reserve Studies (SIRS), Milestone Inspection requirements, property insurance spikes, and beachfront short-term rental caps, conventional retail banks are declining condo transactions late in the escrow process.


Our team specializes in funding the Florida condominium developments that Fannie Mae, Freddie Mac, and traditional banks reject. We partner directly with buyers, existing unit owners facing special assessments, and Florida real estate professionals to deliver common-sense portfolio and Non-QM financing solutions that close on schedule.

  • Primary Residences: Credit scores starting at 660
  • Second Homes & Vacation Rentals: Credit scores starting at 680
  • Investor DSCR Financing: Qualify on unit cash flow alone—no personal tax returns required
  • Expanded Underwriting Caps: Up to 50% commercial space and 49% single-entity concentration
  • Multiple Deficits Permitted: We can approve projects featuring up to 2 non-warrantable characteristics

Why Florida Condos Get Blacklisted by Conventional Lenders?

The legislative requirements following SB 4-D and SB 154 altered Florida condo lending. A single line item on an HOA questionnaire often derails an otherwise strong transaction.


Our lending group specializes in overcoming the primary non-warrantable triggers across Florida:

  • SIRS & Milestone Reserve Deficits: Buildings without fully funded structural reserves or properties with pending Milestone Inspection deadlines fail agency guidelines. Our underwriting team utilizes flexible reserve reviews.
  • Pending HOA Litigation: Whether it involves a construction defect dispute with a developer or an insurance claim over storm repairs, conventional loans stall immediately. We evaluate open association litigation on a case-by-case basis.
  • Condo-Hotels & Coastal Vacation Rentals: Projects from the Gulf Coast to South Florida featuring on-site registration desks, mandatory rental pools, or daily/weekly rentals are barred from agency financing. We provide dedicated condotel loan programs.
  • Single-Entity Concentration (Up to 49%): Conventional guidelines disqualify properties where one investor, corporation, or the original developer holds 25% or more of the units. We accommodate single-entity concentration up to 49%.
  • Commercial Space Exceeding 35% (Up to 50%): Florida’s mixed-use urban buildings often house ground-floor restaurants, retail, and commercial offices. While conventional lenders cap this at 35%, our programs allow up to 50% commercial square footage.
  • HOA Dues Delinquency (Up to 25%): When escalating association budgets cause unit owners to fall behind, conventional rules cap delinquencies at 15%. Our guidelines accept up to 25% delinquent units.
Florida Condo Underwriting Matrix

Conventional vs. Our Florida Portfolio Guidelines

When standard Fannie Mae® and Freddie Mac® guidelines trigger an automatic loan denial, our Florida Non-QM and portfolio loan programs provide common-sense qualifying solutions.

← Scroll horizontally to view full matrix →
Condo Project Metric Conventional Guidelines
Fannie Mae / Freddie Mac / FHA
 Florida Specialists
Our Non-QM & Portfolio Programs
Commercial / Mixed-Use Space Ground-floor retail, restaurants, offices
Strictly Capped at ≤ 35%
Exceeding 35% square footage causes immediate agency loan denial.
Permitted Up to 50%
Accommodates heavy mixed-use buildings, coastal resorts, and urban retail footings.
Single-Entity Ownership Max units held by one investor or developer
Max < 25% Concentration
Single entity or developer cannot hold 25% or more of project units.
Permitted Up to 49%
Protects buyers in boutique buildings or developments during phased sell-outs.
Condotel / Short-Term Rentals Airbnb, VRBO, front desk, rental pools
Strictly Prohibited
No nightly/weekly rentals, on-site check-in desks, or hotel service amenities.
Full Condotel & STR Financing
Dedicated second home and DSCR options for beachfront condotels and vacation units.
HOA Dues Delinquency Unpaid association dues > 60 days
Capped at ≤ 15%
If more than 15% of units are behind on dues, the entire community is ineligible.
Permitted Up to 25%
Absorbs temporary HOA delinquency spikes caused by insurance increases.
Pending HOA Litigation Disputes with developers, contractors, insurers
Generally Ineligible
Automatic decline on open construction, developer, or major monetary lawsuits.
Case-by-Case Underwriting
Attorney review allowed (excluding active structural/safety defects).
Reserves & SIRS Studies FL SB 4-D / SB 154 structural compliance
Rigid 10% Line Item
Requires 10%+ replacement reserve funding and zero deferred maintenance flags.
Flexible Reserve Reviews
Tailored reserve alternatives and review for buildings completing milestone reports.
Multiple Non-Warrantable Factors Simultaneous underwriting exceptions
Zero Tolerance (0)
A single non-warrantable factor triggers an immediate agency denial.
Up to 2 Red Flags Allowed
Financing available for buildings with combined triggers (e.g. condotel + 40% commercial).
Minimum Credit Score Borrower mid-score eligibility threshold
620 – 640+ (Warrantable Only)
Standard scores apply, but only if the building passes all agency questionnaires.
660 Primary / 680 2nd & Inv
660 for primary residence; 680 for second homes and DSCR investment properties.

Financing Programs Structured for Florida Condo Realities

  • Full Documentation Portfolio: Competitive rates for primary residences and luxury vacation homes using W-2s, 1040s, and standard income verification.
  • Self-Employed Bank Statement Programs: 12- or 24-month personal or business bank statements for self-employed professionals, entrepreneurs, and business owners without tax return friction.
  • Investor DSCR Condo Loans: Qualify strictly on the property’s gross rental income (using market leases or short-term vacation rental projections) covering the monthly mortgage, taxes, insurance, and HOA dues.
  • Cash-Out Refinancing for Special Assessments: Helping unit owners tap accrued equity to fund large structural assessments, concrete restoration, and roof replacements before association lien deadlines hit.
  • Flexible Terms: 30-year fixed, 5/1, 7/1, and 10/1 adjustable-rate mortgages (ARMs), and interest-only payment structures.

Request a Florida Condo Scenario Review

Submit your transaction details for direct review by our underwriting team within 24 business hours. No credit pull required.

Florida Underwriting Desk

Request a Florida Condo Scenario Review

Bypass conventional lender delays. Submit your building details below for a dedicated portfolio analysis within 24 business hours.

No Hard Credit Pull24-Hour Deal Desk ReviewDirect Desk: (813) 597-4543
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Property & Transaction Details

Basic information about the Florida condominium and the loan structure

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Estimated Loan-to-Value (LTV):--%
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Non-Warrantable Project Factors

Select any item flagged by the association or the questionnaire (select all that apply)

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Borrower Income Program

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Contact & File Information

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Supporting Documents (Optional)

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Condo questionnaire, budget / reserve study, SIRS or milestone report, purchase contract, insurance declaration page.

Up to 10 files, 25 MB each — PDF, Word, Excel, CSV, text and pictures.

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    Frequently Asked Questions

    What are non-warrantable condo loans?

    Non-warrantable condo loans are financing options for condominium projects that do not meet conventional lending guidelines, often due to issues like HOA litigation or insufficient reserve funds.

    What types of properties do you fund?

    We fund Florida condominium developments that are typically rejected by Fannie Mae, Freddie Mac, and traditional banks, including those with SIRS reserve shortfalls and high investor ratios.

    What credit score is required for primary residences?

    For primary residences, a credit score starting at 660 is required.

    How do you handle pending HOA litigation?

    Our team evaluates open association litigation on a case-by-case basis, which is crucial as conventional loans often stall due to such issues.

    What is the maximum single-entity concentration allowed?

    We accommodate single-entity concentration up to 49%, which is higher than conventional guidelines that disqualify properties with 25% or more held by one investor.

    Can you provide financing for coastal vacation rentals?

    Yes, we offer dedicated condotel loan programs for coastal vacation rentals that feature on-site registration desks and mandatory rental pools.

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