Generally speaking almost 99% of all Condominium projects in a resort area fall into two categories:
1. Condotels – Usually Oceanfront, operate similar to a Hotel, have a Front Desk, Maid Service, and usually an in-house Rental program for your Unit. These properties also have significant commercial space for things like Arcades, Gift Shops, Bars and Restaurants.
2. Non-Warrantable – This term means that the financing done on these units is not Fannie Mae/Freddie Mac eligible. These are also Resort Condominium’s but do not operate like a Hotel. The most common reason these types of Condominiums do not qualify for Conventional financing is the high concentration of Second Home/Investment purchases. Fannie/Freddie requires that at least 60-70% of the units in a project are Primary residences.
Therefore when you are looking to purchase a Condominium in a Resort area it is imperative that you work with a Lender that not only knows this market, but has the specialized financing programs
If you’re interested in getting pre-qualified for a mortgage for a Topsail Island Condo just click on our elite lender’s logo below and you’ll be able to access some of the best available rates and programs for Condo purchase or refinance.