Buying a condotel in Park City or Deer Valley shouldn’t require paying all cash—but that’s what most buyers end up doing because most major banks don’t offer condotel financing.
The truth is: financing solutions exist—you just need a lender who understands this market. LendSure has extensive experience with condotels and provides loan options designed specifically for vacation rental properties.
With flexible documentation and fast pre-qualification, we help you move quickly and competitively in Utah’s most in-demand resort areas.
We understand this market, and often provide financing where others don’t. LendSure Home Loans offers flexible options, deep expertise, and fast, reliable funding for condotels.
Understanding Condotels: More Than Just a Condo
What is a Condotel?
A condotel is a property hybrid: you own your individual unit within a larger hotel property, but the building operates as a managed hotel.
When you’re not using it, you have the option to let the hotel’s on-site team rent it out for you. The hotel’s existing infrastructure allows you to leave your property alone for months at a time. The existing operator handles everything—guests, maintenance, housekeeping, and all front-desk operations.
This gives you the benefits of ownership with the convenience of a high-end hotel.
It’s important to know this isn’t a timeshare. You own the unit itself, not just the time you spend in it.
How LendSure Evaluates Condotels
LendSure views condotels as unique vacation properties that can also offer rental potential when you’re not using them. Where traditional lenders see confusion and risk, we see an asset class with built-in professional management and predictable cash flow patterns.
Our underwriting focuses on three key areas: First, we examine the property management company’s track record—how long they’ve operated the building, their occupancy rates across seasons, and their financial stability. Strong management directly correlates with reliable performance.
Second, we review the building’s occupancy history and revenue trends. A property with consistent 60%+ occupancy and stable nightly rates demonstrates market demand.
Third, we assess your borrower profile using flexible documentation options that match how you actually earn and manage money—whether that’s W-2 income, bank statements, asset depletion, or DSCR qualification based on the property’s rental performance.
If the management is solid, the building performs well, and your financial profile supports the investment, we move forward with financing for your second home or vacation getaway. No arbitrary rejections, no forcing square pegs into round holes.
Condotel Financing Options in Utah
Flexible Documentation Solutions
You don’t need to fit a traditional financing box. We offer multiple documentation pathways:
- Full Documentation: W-2s and tax returns.
- Bank Statement Programs: 12-24 months for self-employed borrowers.
- DSCR: Qualification based on the property’s rental income.
- Asset Depletion / Asset Qualifier (second homes only): For high-net-worth borrowers.
- Foreign National Loans
- Short Term Rental Income (AirBNB and VRBO) is accepted.
This flexibility is key. Condotel buyers come from different backgrounds. Some are W-2 employees. Some are self-employed. Others are retirees with substantial assets. We don’t force you into one box; you choose the financial picture that best reflects your financial situation.
Competitive Terms and Loan Amounts
LendSure offers up to $3,000,000 in loan amounts for premium Utah properties. This gives you capital for quality Park City and Deer Valley properties. Furthermore, at LendSure pre-qualification takes as little as 24 hours, letting you move quickly on deals.
Condotel Loan Requirements and Qualifications
Credit and Financial Standards
You don’t need perfect credit, but you need to demonstrate financial responsibility and the ability to handle the investment. If you’ve had past credit challenges but have recovered and show strong compensating factors—solid assets, stable income, good equity position—you can still qualify.
Income Verification Flexibility
You have options. W-2 employees bring tax returns. Self-employed borrowers use bank statements. Retirees with assets use Asset Depletion. You can even use streams of income from existing condotels or rental properties in your portfolio to finance new properties using our DSCR qualification.
Choose the path that works for your situation. Our flexibility matters because condotel investors don’t fit traditional income profiles.
Property-Specific Requirements
Lenders evaluate the resort operator’s reputation, building occupancy history, and management quality. Buildings must have full kitchens in units, no mandatory rental pooling, and professional management. Condotels are for investment and second homes only—not primary residences.
For example, if you’re looking at a Park City property, the lender will examine whether the resort management company has a solid track record of keeping units occupied and maintaining guest satisfaction. This directly impacts your income reliability.
Loan Terms
- Loan amounts up to $3,000,000 for quality condotels
- Up to 75% loan-to-value structure for purchases
- Up to 70% loan-to-value for rate & term refinances
- Up to 65% loan-to-value for cash-out refinances
You’ll need reserves, specifically liquid assets covering several months of payments—to show you can handle occupancy fluctuations.
Getting Started with Condotel Financing
Have your property information ready: address, unit details, building management company, and historical rental data. Gather financial documentation—such as bank statements or proof of assets.
Then reach out to LendSure’s experts to discuss your specific situation. Many investors are surprised by how straightforward the process is with a specialized lender.
The Bottom Line
Condotel investments in Utah, especially in markets like Park City and Deer Valley, offer a unique blend of personal use enjoyment and income generation. But financing them requires a lender who understands the asset class and knows how to structure deals accordingly.
LendSure Home Loans specializes in condotel financing with flexible qualification options, competitive terms, and fast funding. Whether you’re a first-time condotel buyer or an experienced investor expanding your portfolio, we have solutions built for your situation.
Ready to explore condotel financing options? Contact LendSure today and let’s turn your Utah condotel investment into reality.
Frequently Asked Questions
What income documentation is available for LendSure condotel loans?
We offer flexibility. You can use traditional full documentation (W-2s, tax returns), bank statement programs for self-employed borrowers, DSCR qualification based on property rental income, Asset Depletion (second homes only) for high-net-worth individuals, or Asset Qualifier programs. Choose the documentation path that works best for your situation.
Can a standard hotel room be considered a condotel?
No. A condotel requires individual unit ownership with the ability to use your specific unit personally. Standard hotel rooms are fully hotel-managed with no individual ownership. Additionally, the building must have full kitchens in units and cannot mandate rental pooling arrangements that prevent you from personal use.
Can a condotel loan be used to purchase a primary residence?
No. Condotel loans are designed for investment properties and second homes only. You cannot use condotel financing for a property you intend to occupy as your primary residence. This protects both the lender and maintains the investment property structure the loan was designed for.
What condotels are ineligible for condotel loans?
Buildings with mandatory rental pooling arrangements, timeshare structures, or those lacking full kitchen units in individual ownership may be ineligible. Additionally, properties requiring owner participation in hotel operations or those with unreliable management may not qualify. Contact LendSure with specific property details to determine eligibility.
How quickly can I close on a condotel loan?
Many investors close within 2-3 weeks once underwriting is complete. Pre-qualification can happen in as little as 24 hours. The timeline depends on property complexity, appraisal timeline, and documentation gathering, but LendSure prioritizes speed so you can move on your deals.
What happens if occupancy drops in my condotel?
Your mortgage obligation remains the same regardless of occupancy. This is why reserves matter and why qualification is based on your ability to cover payments even in slower periods. The good news: professional resort operators in Utah typically maintain solid occupancy year-round, especially in premium markets like Park City and Deer Valley.
Can I refinance my condotel?
Yes. LendSure offers rate and term and cash-out refinances for condotels.
