A practical documentation guide for international buyers evaluating South Florida new-construction condominiums, with clear distinctions between project eligibility, reserve funding, borrower underwriting, and limited review waivers.
For a foreign buyer acquiring a South Florida condominium, the financial file deserves the same attention as the floor plan. A residence may meet the buyer's expectations while its project documentation leaves financing unresolved. The essential distinction is between borrower approval and condominium project eligibility.
Begin by asking the lender which financing program applies and whether its project review follows Fannie Mae standards. The discussion below addresses those project standards, not a universal foreign-national mortgage program. For a 2026 purchase, do not assume the 10% reserve allocation is a new rule or that every provision has the same effective date.
Whether evaluating The Residences at 1428 Brickell or another Brickell address, request a written review path before treating financing as settled. No project mentioned here is represented as approved, ineligible, or eligible for a particular loan.
Attached units in new or newly converted condominium projects generally require Full Review through Condo Project Manager or review through the Project Eligibility Review Service, known as PERS, unless an exception applies.
Initial closings do not necessarily make a project established. Incomplete construction, planned phases or annexations, continued developer control, and insufficient unit conveyances can preserve its new-project classification. The general conveyance threshold is 90%, with an 80% exception for qualifying projects. Neither percentage is the sole classification test.
Request documentation showing construction status, conveyances, association control, and remaining phases. Have the lender identify the classification and review method in writing. For a pre-construction purchase, revisit that determination as delivery approaches rather than relying solely on an early financing conversation.
For a project undergoing Full Review, the budget must show a 10% reserve allocation. This is a budget-allocation requirement, not a requirement to hold cash equal to 10% of the building's replacement cost. A current or planned special assessment cannot substitute for that allocation.
The documentation file should contain the association budget, its reserve line, and the lender's written treatment of those figures. Ask how the lender evaluates the allocation and whether additional reserve conditions apply to the selected review route. Keep special-assessment documentation separate so that exceptional collections are not confused with recurring reserve funding.
When considering a Miami Beach residence such as The Perigon Miami Beach, the question is not simply whether reserves exist. It is whether the documented budget and applicable funding conditions satisfy the selected financing program.
PERS does not make every reserve-related provision applicable to every new condominium. Confirm the project category and applicable review provisions first.
Where the relevant PERS requirements apply, the file includes a current reserve study prepared by a qualified independent professional and an engineering report or equivalent assessment addressing structural integrity and the remaining useful lives of major components. Budgeted reserves must adequately cover the costs identified in the study.
Applicable provisions also require replacement costs identified for the next five years to be deposited into reserves in addition to ordinary reserve funding. Where utilities are not separately metered, those provisions require a utility contingency of at least 10% of prior-year utility costs.
Request written confirmation of applicability, required documents, and any outstanding funding conditions. A reserve percentage alone does not resolve a review that also examines component life and near-term replacement costs.
Individual units in new condominium projects must be available for immediate occupancy when the loan closes. A completed residence and unfinished common facilities therefore warrant separate attention.
Where completion assurances are required, acceptable security can include cash deposits, letters of credit, certificates of deposit, or other readily convertible assets. For substantially complete projects subject to those requirements, defect protection must cover the unit for one year after settlement and common facilities for one year after transfer of at least 60% of association voting control.
Request the lender's accepted occupancy evidence, outstanding completion conditions, applicable security documentation, and required defect protection. For phased developments, include phase boundaries, planned improvements, completion schedules, easements, and relevant master-association obligations.
If owners must pay more than $50 monthly to a separate master association, the lender must review the overall development plan, improvements, expansion timetable, and reciprocal easements. For a Sunny Isles Beach purchase, including consideration of Bentley Residences Sunny Isles, ask whether such arrangements apply rather than assuming they do.
Project eligibility does not establish a foreign buyer's borrowing eligibility. Obtain the selected lender's written requirements for the applicant and loan program, including any requirements concerning foreign income, credit evidence, residency status, and source of funds.
Treat that request as transaction planning, not evidence of a universal documentation standard. Likewise, do not assume a particular loan-to-value ceiling, liquidity requirement, or additional inspection applies to all foreign buyers. Identify any lender overlay as that lender's condition, not automatically as a Fannie Mae rule.
Maintain separate lists for borrower conditions and project conditions. Ask which remain open, who must supply each document, and whether approval is conditional. This distinction is especially useful when the buyer's personal file is advanced but the association's review is not.
Project-review waivers are available for units in new and established two- to four-unit condominium projects. Certain five- to ten-unit projects can qualify only when they are not part of a larger development or master association. Attached units in five- to ten-unit projects within those broader structures require Full Review under the stated exception.
Do not infer waiver eligibility from a boutique presentation. When evaluating Alana Bay Harbor Islands or another residence, request the documented unit count, development relationships, and lender's waiver basis before drawing conclusions.
A waiver does not eliminate applicable property eligibility, appraisal, or Condo Project Manager status requirements. Nor does it make otherwise ineligible condo hotels, motels, timeshares, or segmented ownership projects eligible. Hotel branding alone does not establish condo-hotel status; operating and ownership arrangements require examination.
Before closing, request one written status summary covering the review method, reserve treatment, any waiver basis, lender-specific requirements, and outstanding conditions. This is a practical recommendation, not a separate mandate. Its purpose is to ensure that an elegant purchase does not rest on an imprecise assurance of approval.
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Begin a quiet conversationNo. Borrower eligibility and condominium project eligibility are separate determinations, and both must be addressed under the selected financing program.
It should not be presented as newly introduced in 2026. Confirm the requirements applicable to the transaction with the lender.
No. The requirement discussed here concerns the project's budget allocation, not cash equal to 10% of the building's replacement cost.
No. A current or planned special assessment cannot substitute for the 10% budget reserve allocation described for Full Review.
Yes. Incomplete construction, future phases, continued developer control, or insufficient conveyances can preserve that classification.
No. Reserve-study, engineering, five-year funding, and utility-contingency provisions must be matched to the applicable project category and review requirements.
Yes. Individual units in new condominium projects must be available for immediate occupancy at loan closing.
If owners must pay more than $50 monthly to a separate master association, the lender must review the overall development plan, improvements, expansion timetable, and reciprocal easements.
Waivers are available for units in new and established two- to four-unit projects. Certain five- to ten-unit projects may qualify only when they are not part of a larger development or master association.
No. Branding alone does not establish condo-hotel status; the operating and ownership arrangements must be examined, and a review waiver cannot cure an otherwise ineligible structure.
