Non-Warrantable Condo Loans

From Gulf Coast Bank & Trust Company with Locations Across Metro New Orleans, Baton Rouge & the Northshore

Gulf Coast Bank & Trust offers home loan programs for non-warrantable condominiums. Contact our lenders across metro New Orleans, Baton Rouge and the Northshore to learn more about loan programs offered for non-warrantable condos.

Many condos qualify for conventional and government financing options. Those are considered warrantable condos.

But many condo complexes, especially across areas of New Orleans such as the French Quarter and Warehouse District as well as along the beach communities of the Gulf Coast from Mississippi to Florida, are considered non-warrantable under current mortgage loan guidelines.

However, that doesn’t mean you can’t get a home loan for one of these non-warrantable condos, even if you’re buying one as a second home or investment property. There are many options available.

If you're considering purchasing a condominium, start the process today by speaking with a Gulf Coast Bank & Trust loan officer and understand your home loan options for this type of property.

What is a Non-Warrantable Condo?

A non-warrantable condo is a condo property where the loan is not eligible to be sold through Freddie Mac or Fannie Mae. Because of its ineligibility, mortgage financing for this type of property is underwritten in a different fashion.

Characteristics that can make a condo “non-warrantable” are:

  • The larger condo project is not yet complete.
  • The condo development allows short-term rental units and/or the majority of units in the condo project may be rentals.
  • The condo project’s developer is still in control of the owner’s association.
  • A single person or entity owns more than 10% of all condo units in the building or development.
  • Units in developments where more than 25% of the space is used commercially.
  • The condo project is involved in litigation of any kind.
  • 51% of the properties must be owner occupied?

How Does a Non-Warrantable Condo Different from a Warrantable One?

Where warrantable condos are approved by Fannie Mae and Freddie Mac and are eligible for government-guaranteed financing from the FHA and the Department of Veteran Affairs (VA), non-warrantable condos are not.

Solutions for Non-Warrantable Condos

Our financing options for purchasing a non-warrantable condo include:

Portfolio Loans

Unlike conventional home loans which are guaranteed by federal regulators and may be bought and sold by other lenders, Portfolio loans are originated, underwritten, and maintained in your lender's portfolio with specific underwriting guidelines.

Like all mortgage loans, guidelines and requirements for Portfolio loans may be subject to change based on market conditions. For more details on current options on our Portfolio loan offerings on non-warrantable condos, reach out to a Gulf Coast Bank & Trust loan officer.

We’re Here for All of Your Financing Needs

Gulf Coast Bank Home Loans has branches in metro New Orleans and Baton Rouge as well as across the Northshore.

We’re to help you find the right real estate financing for your needs - whether it’s a conventional loan for a single-family home or a specialized portfolio loan for a condominium.

To get started, contact a lender, or visit a branch location near you.

** This is not an approval for credit. Normal credit qualifications and other terms and conditions apply. Subject to underwriting approval. Program, qualifications, terms & conditions are subject to change without notice. Please speak to a lender for complete details.***