Can I still get a qualifying loan in my situation?

[Paul Winka]

I used to have 10 qualifying loans active, but as I have bought more properties, I have refinanced out of those 10 qualifying loans and replace them with commercial loans. As it is now, I only have one qualifying loan (filling one “slot”), but 15 commercial loans. I am under the impression that I could get 9 more qualifying loans other than personal residence loans. I have received differing answers from agents, lenders, and colleagues on this. I can’t tell if this is driven by the total properties I have (more than 10), or if each person is given a slot.

Properties are for new builds in Marion County, FL, for what it is worth. Happy to take referrals.         

[Andrew Garcia]

Hi @Paul Winka, former underwriter here.

Straight from the Fannie Mae Selling Guide:

The following property types are not subject to these limitations, even if the borrower is personally obligated on a mortgage on the property:

• commercial real estate,
• multifamily property consisting of more than four units,
• ownership in a timeshare,
• ownership of a vacant lot (residential or commercial), or
• ownership of a manufactured home on a leasehold estate not titled as real property (chattel lien on the home).

Therefore, it would all depend on whether the properties you currently have are considered commercial real estate.

A lender would have to take a look at the financing documents from the 15 commercial loans to see if they are truly considered commercial loans.

Unfortunately, it is not a cut-and-dry answer but there certainly is a case to be made that those 15 would fall under the "commercial real estate" exemption.

If you would like a referral to a lender, I would be more than happy to provide one. Feel free to shoot me a message so we can exchange information.

Hope this helps! Let me know if I can be of any assistance.