DSCR & Cash Flow

Non-Warrantable Condo & Condotel DSCR Financing

Wholesale DSCR financing for condominium units that fail Fannie Mae/Freddie Mac warrantability rules due to short-term rentals, investor concentration, or resort amenities.

Underwriting Formula / Rule

Max Leverage: Up to 75% LTV Purchase / 65%–70% LTV Refinance on Non-Warrantable Condos & Condotels.

Detailed Credit-Committee Impact & Thresholds

Conventional banks reject condos where >50% of units are investor-owned, where the HOA permits nightly Airbnb rentals, or where a registration desk operates on-site (condotels). Specialized Non-QM wholesale DSCR shelves actively finance both non-warrantable condos and condotels.

2026 Wholesale Benchmark: 14+ wholesale shelves accept Non-Warrantable Condos and Resort Condotels.

Related Underwriting Terms

Debt Service Coverage Ratio (DSCR)Form 1007 Single-Family Comparable Rent Schedule Form 1025 Small Residential Income Property Appraisal Report 5-4-3-2-1 Step-Down Prepayment Penalty 3-2-1 Step-Down Prepayment Penalty Yield Maintenance Prepayment Provision