CA-Loan rejected for investment property >10%Ownership in Complex

CA-Loan rejected for investment property >10%Ownership in Complex

Investor · San Jose, CA · Member since 2015 · 52 posts · 9 votes

Hi,

I am currently in contract to buy a condo/townhouse as an investment property in Alameda county in CA. The contract is for 390K, my credit score is above 760 and I want to put 20% down (25% if I really have to buy dont prefer it). With my previous lender we were about to close but realized that out of the 14 apartments in the complex, one person owns 5 because of that the loan was rejected.

Are there lenders out there which will finance a property in this case? I am looking for maximum lenders credit (close to 2% of the loan) and rates which are not very high compared to the conventional mortgage.

Thanks

0Reply
4 views

3 Replies

Jump to latestLatest
  • Long Beach, CA · Member since 2016 · 20 posts · 7 votes
    9y

    Hi, some lenders (including the one I work for)  will do a limited review on the condo which means the owner that has 5 of the units would never come up. I work for a bank and may be able to assist. Feel free to reach out.

  • Paul DefnginPro Member
    Lender · Rockville, MD · Member since 2008 · 498 posts · 199 votes
    9y
    Rian Ash try asking your lender to do the loan as a non-warrantable condo.
  • Investor · San Jose, CA · Member since 2015 · 52 posts · 9 votes
    9y
Join the conversationCreate a free account to reply, vote on answers and follow this thread.