Who this is for
Who buys condotels
Vacation home buyers
Use it yourself and let the hotel program rent it the rest of the year.
Investors
Resort zoning can allow nightly rentals where the rest of Oahu requires 90+ days.
International buyers
Japan and Canada buyers are common in Waikiki.
Buyers turned down by a bank
Because the building is a condotel, not because of you.
Program highlights
What I check first
Building and rental program
Front desk, rental pool, and any requirements on owners.
Unit size and kitchen
Some lenders require a minimum size or a full kitchen.
Budget and reserves
Association financials and reserves.
Your use
Second home vs investment changes pricing.
Qualification guidelines
What lenders look at
Typical guidelines across my lender network. Every file is different, and I will tell you exactly where you stand after a quick review.
| Factor | Typical requirement | Required? |
|---|---|---|
| Down payment | Usually 25–30%+ | ✓ YES |
| Credit score | Often 680+ | ✓ YES |
| Reserves | Often 6–12 months | ✓ YES |
| Building review | Lender-specific | ✓ YES |
| Fannie/Freddie approval | Not available for condotels | ✗ NOT USED |
In Hawaii
Condotels in Hawaii
- Resort zoning is what allows short-term rentals; confirm the unit's status before counting on that income.
- Leasehold condotels exist in Waikiki. Leasehold →
- Not sure if it's a condotel or just non-warrantable? Non-warrantable condos →
How it works
From first call to closing
- Send the buildingI tell you which lenders can do it, usually same day.
- ShopPortfolio and non-QM lenders compete.
- AppraisalValue and, for investors, rental income.
- CloseClose before your contract deadlines.
Common questions
Condotel FAQ
Why won't my bank finance a condotel?
Fannie Mae and Freddie Mac treat condotels as ineligible projects, so most banks can't sell those loans.
How much down do I need?
Usually 25–30% or more, depending on lender, credit and use.
Can I use rental income to qualify?
Some lenders allow it, including DSCR-style programs for investors.
Can foreign nationals finance a condotel?
Yes, with select lenders. Foreign national loans →
Sources: Fannie Mae Selling Guide (B4-2.1-03, Ineligible Projects); City and County of Honolulu Ordinance 22-7.
Bank statement, P&L, DSCR, ITIN, foreign national, condotel and fix-and-flip programs are non-QM or business-purpose products. They are not conventional, FHA, VA or USDA loans, and rates and down payments are typically higher.
