1-877- 292-7350 jhurst@hurstlending.com

Condotel Loans

We offer financing for a variety of condominiums (including Condotels).

Condotel Loan Solutions

While many lenders shy away from providing financing for condotels, as condotel lender, we provide loans for condos of all types. We offer condotel loans as well as loans for non-warrantable condo projects. If you have your eye on a condo hotel and you’re struggling to find condotel financing, don’t give up! We want to help you get into the property you want.

Low Interest Rates

Purchase, Refinance or Cash Out Loans

Primary Residence or 2nd Home

What is a Condotel?

A condotel is a type of condominium that combines the comfort and convenience of a hotel with the ownership and privacy of a condo unit. As an individual unit owner, you will have access to many of the amenities that a typical hotel provides, such as housekeeping and room service.

The allure of the condotel concept is particularly attractive to empty nesters and busy professionals seeking a primary residence. With a high-service lifestyle, upscale amenities, and minimal upkeep required, it offers a unique combination of luxury and practicality.

Condotels are also gaining popularity as investment properties in resort areas. As the owner of a condo unit, you can benefit from rental income to offset the cost of your unit, as well as enjoy the use of your vacation home with the peace of mind that comes with on-site property management.

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I’ve worked with Jay Hurst on several loans.  Jay is extremely knowledgeable and helpful, and was able to advise me on the options for my recent purchase. Great guy to have on your side, and great rates!

Kevin B.

5 Stars 300x52 1

Hurst Lending was very easy to work with and stayed in constant contact with me throughout the loan process so I never had to wonder what the status of the loan was.

Naomi R.


Hurst Lending
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The Hurst Lending Difference

Funding Choices

Low downpayment options available.

Quick Decisions

With a quick closing and no red tape.

Great Rates

We offer some of the best rates available.

Problem Solving

Creative approaches for unique situations

Competitive Condotel Rates

Our condotel loan rates offer favorable and attractive terms.

Frequently Asked Questions

How can we tell what we are buying is a condotel or just a regular condo?

A condotel is usually found in a resort area such as a beachfront town or other tourist destination like Orlando, FL (Disney World) or a mountain town in Colorado. Here are a few of the rules Fannie Mae and Freddie Mac use to define a condotel:

  • The predominant use of the units in a condo complex are short-term rentals
  • It is professionally managed by a hotel or resort management company
  • It has a legal or common name that contains hotel, motel, or resort, unless the use of the term is historical in nature
  • It has online ratings through hotel ratings providers including, but not limited to, travel agencies, hotel booking websites (ie.TripAdvisor.com or Experian), and internet search engines.
  • It is subject to voluntary rental-pooling, revenue, profit or commission sharing agreements with the HOA or management company, or similar agreements that restrict the unit owner’s ability to occupy the unit such as blackout dates and occupancy limits to assure an inventory of units for rent on a frequent basis.
Why is the interest rate so much higher for a condotel?

Interest is primarily a function of risk. Condotels have higher risk profiles than single family homes or regular condos and, therefore, have higher interest rates. The main risk factors associated with condotels are:

  • Fannie Mae and Freddie Mac will not buy these loans, which puts the risk of default on the lender.
  • High Cost – Condotels typically charge higher than normal HOA dues and have other costs that raise the breakeven point for investors
  • Marketability – If, unfortunately, the bank needs to foreclose on a condotel unit, it is not as marketable as a 3 bedroom 2 bath home because not everybody is in the market for one of these properties, Therefore, it is not as easy for the lender to get their money back by selling the property in a timely manner.
Can I take cash out of equity in my condotel unit(s)?
Yes, you can! However, the Loan-to-Value is typically 5% lower than that of a purchase.
What are the terms of these loans?

Condotel loans come in all shapes and sizes. These include:

  • 30 Year Fixed
  • Adjustable Rate Mortgages
  • Full doc, Bank Statement, or DSCR

Condotel Mortgage Expertise

We help simplify the condotel loan process & get you the lowest down payment.

About Hurst Lending

We have been helping our customers buy, sell, and refinance their homes since 2006. Our personalized approach to the home buying process includes a suite of services that solve common hurdles in the home buying process.  Have you ever experienced the frustration of trying to buy before you sell; Losing your dream home in a bidding war; Trying to get a No-Seasoning Cash-out loan; Being unable to obtain a mortgage because your new or old house needs modest repairs; or simply because you prefer using our funds to close quickly without having to liquidate other investments?  Our Industry-leading suite of short-term loans solves these issues.  We also offer a suite of real estate investor loan products and a full suite of conventional, VA, FHA, construction and traditional home loans.