Updated about 9 years ago on . Most recent reply
Non-FNMA Approved Condo
Hello to all of you more seasoned investors. I am a relatively new investor. I have a handful of deals under my belt. I am working on a deal with a 2/2 condo right now. It's in a great area and there's absolutely no work needed to be done on the property. The area rents well (approx. $1350/mo).
The lender that I have been using has informed me that the condo is not Fannie Mae approved due to the fact that one owner owns more than 10% of the units. I can't get a conventional loan. The deal makes sense if I want to lease but it doesn't make sense financially to get a HML and flip.
1. Can anyone suggest where I might go to get a loan at just slightly higher interest rates so that I can still make decent margins renting the property?
2. Would anyone more seasoned even invest in a condo that is not FNMW approved (understanding that the rental data in the area is strong)?
Thank you.
Jeffery