Is this newly converted condo too recent for limited review?
Yes. Newly converted condo projects are effectively blocked from limited review paths. If the project conversion is recent or ongoing, the file needs full review regardless of other factors. This is one of the clearest blockers in condo lending — project status determines almost everything when the project is newly converted.
Why it's not always simple
The "newly converted" rule is strict, but the definition of "newly converted" and the exact timeline can be unclear depending on the agency and lender overlays. Some lenders treat projects as "new" for longer than others. Additionally, understanding when a project transitioned from "newly converted" to "established" is sometimes murky based on available documentation.
The bigger issue: project status is often unknown or unclear at the outset, so you might not immediately know whether the conversion is recent enough to kill the simpler path.
What people usually miss
People check other factors first (unit count, attachment type, occupancy) and only ask about project status later. What usually gets missed:
- Not confirming project status early enough, delaying the file discovery that the path is blocked
- Assuming a project that looks modern is "new" when it might be more established than the physical appearance suggests
- Confusing "recent renovation" with "recent conversion" — they're different things
- Not getting clear documentation of the actual conversion date, so status remains uncertain
- Assuming the HOA questionnaire will clarify status, but it might not
The real issue: newly converted projects are a hard blocker, but you often don't discover it until you're already deep into the file.
Example
A loan officer has a file with an attached unit in what looks like a fairly new condo project. The marketing materials suggest it's modern. But when she requests the HOA questionnaire, it reveals the project was converted from apartments 18 months ago. Because the conversion is that recent, the file can't use the lighter review paths — it needs full lender review despite looking like it should be simple. The loan officer lost three weeks by not confirming project status upfront.
If this is a real file
If there's any question about whether the project is newly converted, that's the first thing to confirm. It's a gate decision — if the conversion is recent, the entire path is predetermined, and lighter review options don't exist.
If you want to quickly understand whether your project status is truly clear and what review path that actually determines, you can run a 60-second pre-screen.