Condo & Non-Warrantable Condo Loans in California
Buying or refinancing a condo? Explore financing for eligible condo projects and non-warrantable properties, including situations that fall outside another lender’s guidelines.
- Purchase & Refinance
- Project-Specific Review
- California Mortgage Broker
45+ Google Reviews · Santa Cruz
20+ Years
Mortgage Broker Experience
60+ Google Reviews · Carmel
NMLS #279284
Licensed Mortgage Professional
Tell Us About the Condo and Your Plans
Whether you’re purchasing a condo or refinancing one you already own, you don’t need to know which program fits. SV Mortgage Group can review your situation, help identify project requirements and explore relevant lending options.
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The Condo & How You’ll Use It
Share the location, community name if known, and whether it will be your primary residence, second home or rental property.
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Your Purchase or Refinance
Include the estimated price or current value, your down payment or mortgage balance, and what you hope to accomplish. Estimates are fine.
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Any Financing Concerns & Your Timeline
Mention any lender concerns about the HOA, insurance, litigation or your qualifications, along with your closing deadline. It’s fine if you’re still gathering details.
Let’s Review Your Condo Financing
Your Qualifications and the Condo Project Both Matter
Condo financing involves more than reviewing your income and credit. Lenders also evaluate the condominium project, including its association finances, insurance and property condition. Understanding these two reviews helps clarify where a financing challenge begins.
Your Qualifications
The lender reviews your financial situation and how the proposed loan fits your purchase or refinance.
- Income documentation and existing debts
- Credit history and payment record
- Down payment or equity and available funds
- Primary residence, second home or rental use
The Condo Project
The lender also considers the shared building and association under the selected program’s project requirements.
- HOA budget, reserves and financial records
- Master insurance coverage
- Building condition, repairs and assessments
- Litigation, ownership and project use
Project-review reference: Fannie Mae project standards . Requirements vary by program and review type.
Why Condo Financing Can Get Complicated
A condo loan can encounter obstacles even when the borrower qualifies. HOA finances, insurance, building repairs or legal matters may fall outside a lender’s guidelines.
Lenders offer different programs and apply different project criteria. Understanding the specific concern helps determine whether the next step is additional documentation, another lending source or resolution of the issue itself.
Start with the specific concern. A project-related decline does not, by itself, tell you whether another program will fit.
Which Concerns Increased Most?
Selected results: share naming each issue among their two most-increased concerns over the preceding year.
| Project concern | 2020 | 2023 |
|---|---|---|
| Deferred maintenance / aging projects | 33% | 48% |
| HOA financial instability | 50% | 38% |
| Inadequate insurance | 15% | 32% |
Historical lender concerns—not loan-denial rates or current California measurements. All bars use a 0–100% scale. Source and methodology below.
Building Repairs
Significant repairs or unresolved maintenance can affect project eligibility. The lender may need reports explaining the condition and planned work.
Insurance Coverage
The association’s master policy must satisfy the selected program’s requirements. Coverage gaps or policy details may require additional review.
HOA Finances
Budgets, reserves and assessments help lenders evaluate the association’s financial position and its ability to meet shared obligations.
Litigation
The nature of a lawsuit matters. A dispute over collections may receive different treatment from litigation involving structural safety.
Ownership & Property Use
Commercial space, ownership concentration or rental arrangements can affect which programs accept the project. Requirements differ by lender and program.
Incomplete Records
Missing questionnaires or supporting documents can prevent a lender from completing its review, even before project eligibility is determined.
Survey source and method: Fannie Mae Mortgage Lender Sentiment Survey, February 2024 report, p. 22 . Q3 2020 and Q4 2023 condo-originating lender bases: 158 and 175. Reported totals average the three lender-size-group means; respondents could select two concerns. Three selected categories are shown.
Project-review reference: Fannie Mae project standards . These are review factors, not automatic reasons for every lender to decline a condo.
Has Your Condo Loan Been Declined?
If your condo financing was declined or put on hold, tell Shane Valente what happened. He can review the concern and help you explore whether another financing option may fit your property and goals.
Send a brief email with:
- The propertyCondo address and community name, if known.
- The lender's concernWhy the loan was declined or paused.
- Your financing plansPurchase or refinance, intended use and estimated loan amount.
- Your timing and contact detailsAny closing deadline and the best number to reach you.
You don't need every answer or document to start. Share what you know, and Shane can help identify what to review next.
shane@svmortgagegroup.comPlan for the Full Cost of Your California Condo
Your mortgage payment is only part of the cost of owning a condo. Property taxes, insurance, HOA dues and assessments also affect your monthly budget. Explore regional pricing and adjust the calculator to see how these expenses work together.
Bay Area & Monterey Bay Condo Prices
September 2026 median sale prices for the combined condo/townhouse category. Select a price to use it in the calculator.
| County | Median sale price | Closed sales |
|---|---|---|
| Santa Cruz | 26 | |
| Monterey | 14 | |
| Santa Clara | 262 | |
| San Mateo | 94 | |
| San Francisco | 215 | |
| Alameda | 186 | |
| Contra Costa | 172 | |
| Marin | 50 | |
| Sonoma | 48 |
Source: MLSListings September 2026 County Summaries: Residential–Common Interest, published October 13, 2026.
Selected county results combine condos and townhouses; they do not isolate non-warrantable projects. Medians reflect the homes sold that month and can shift with small samples. They are market context, not a valuation of your condo. Price bars use the same $0–$1.5 million scale.
Condo Mortgage Calculator: Include HOA Dues
Adjust the example to explore your monthly budget. The starting rate and costs are illustrative—not a loan quote.
Condo Financing Is a Core SV Mortgage Group Specialty
Condo loans are a major part of our work. From conventional financing to non-warrantable condo scenarios, SV Mortgage Group helps California buyers and owners explore lending sources suited to their property and qualifications. If another lender has declined your loan, we start by understanding why.
Shane Valente brings more than 20 years of mortgage experience to each review, with guidance shaped around your condo, financial situation and goals.
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Understand the Financing Obstacle
Identify whether the concern involves your qualifications, the condo project or both before exploring alternatives.
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Access to Multiple Lending Sources
Compare relevant programs across lenders with different condo guidelines, documentation requirements and occupancy criteria.
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Clear Guidance Through the Next Steps
Understand requested HOA documents, proposed loan terms and outstanding conditions as your transaction moves forward.
Condo Financing in Santa Cruz, Carmel & Monterey
Buying or refinancing a condo on the Central Coast or in the Bay Area? From our Santa Cruz and Carmel offices, SV Mortgage Group helps borrowers throughout California explore condo and non-warrantable condo financing. Start with your property, HOA questions and financing goals.
Local Offices In
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Santa Cruz Office
View our Santa Cruz Google profile -
Carmel Office
View our Carmel Google profile
Questions About California Condo Financing
Buying or refinancing a condo that needs a closer review? These answers cover lender declines, down payments, HOA concerns and financing options for your situation.
Possibly. A decline may reflect that lender’s available programs, missing project information or an issue that needs to be resolved. Another lending source may evaluate certain project characteristics differently.
Share the lender’s explanation or outstanding conditions with SV Mortgage Group. We can help identify what needs review and whether another approach is worth exploring. Changing lenders does not automatically resolve safety, insurance or financial concerns.
There is no universal minimum. The required down payment depends on the lender, the project’s specific issues, your credit, loan amount and whether the condo will be your primary residence, second home or investment property.
Some specialty programs require more money down than standard condo financing. Plan separately for closing costs, required reserves and any assessments payable at closing. We can review the project before discussing a realistic down-payment requirement.
Refinancing may still be possible, but approval of your original mortgage does not guarantee eligibility today. The new lender applies its current borrower and project requirements, including any applicable review exceptions.
Explain what changed, such as insurance coverage, litigation, repairs or HOA finances. Your equity, financing goals and the project’s current condition will help determine which refinance options may fit.
Sometimes. The nature of the dispute matters. Certain minor matters may be acceptable, while litigation involving structural safety, habitability or significant financial exposure can create more substantial financing barriers.
The lender may request legal documents, a status summary, insurance information and details about related repairs. Specialty financing also has restrictions, so the actual dispute must be reviewed before eligibility can be determined.
Some programs allow alternative income documentation. Eligible self-employed borrowers may explore bank statement loans, while eligible rental condos may qualify through DSCR financing based on rental income relative to qualifying property expenses.
The program must also accept the condo project and intended occupancy. An alternative way to document income does not automatically overcome an HOA or project-eligibility issue.
They can be. Specialty financing may carry different rates and fees because of project characteristics and the available lending sources. There is no standard rate increase that applies to every non-warrantable condo.
Compare offers using the same loan amount, occupancy and repayment structure. Review the interest rate, APR, points, closing costs and any applicable prepayment terms alongside the monthly payment.
No. FHA project approval relates to FHA financing; it is not a universal approval or rejection for every mortgage program. Conventional and specialty lenders apply their own applicable project requirements.
Some individual units in projects without FHA approval may qualify through FHA’s Single-Unit Approval process. Both the unit and project must meet its requirements, and the borrower must qualify for the loan. Review HUD’s condominium guidance.
Useful starting records include the current HOA budget, financial statements, reserve study, master insurance information and notices of special assessments. Meeting minutes and available repair or litigation records can help explain issues affecting the community.
Ask your lender which questionnaire and supporting documents are needed before ordering a paid package. Requirements vary by project and review method; the HOA or management company may need to provide additional information.
Have a Condo Financing Challenge?
Tell us about the condo, your purchase or refinance plans and any concerns a lender has raised. SV Mortgage Group can help you understand what needs review, explore relevant lending options and clarify your next steps.