The VA requires a condo project to be deemed eligible for a VA home loan. There are 2 ways to determine VA condo mortgage eligibility:
- I. Pre-approved VA Condos
- II. Requesting Condo Approval from VA
The common method used for VA condo eligibility is verifying VA condo pre-approval. Either way, when using a VA home loan the subject condo must be considered eligible by VA.
Pre-approved VA Condos
VA maintains a list of condo projects that are currently eligible for VA condo financing. VA eligible condos come in 2 varieties:
- 1. VA approved with conditions
- 2. VA approved without conditions
“VA approved with conditions” means the mortgage lender must determine and satisfy whatever the “condition(s)” is/are prior to closing a VA loan on that particular condo.
For both “with AND without conditions” VA condo approvals the lender must verify additional information such as adequate blanket insurance coverage.
VA pre-approved condo list: VA Approve
Requesting Condo Approval from VA
If the condo being financed is not on the VA pre-approved condo list, a mortgage lender can request VA condo approval. The VA reviews the condo project to determine if it meets VA condo eligibility requirements. Submitting a condo for VA approval may take up to 4 to 6 weeks.