Financing in a "non-approved" building

Hi everyone, Certain buildings are on a bank's "approved list"; the banks consider this building financially safe. The building has enough reserves; a large percentage of the units are NOT owner occupied; the sponsor does NOT own too high a percentage of the units, etc. But a building that's NOT on the bank's "approved list": banks are reluctant to offer mortgages to an applicant who's buying into... [more]

Hi everyone, Certain buildings are on a bank's "approved list"; the banks consider this building financially safe. The building has enough reserves; a large percentage of the units are NOT owner occupied; the sponsor does NOT own too high a percentage of the units, etc. But a building that's NOT on the bank's "approved list": banks are reluctant to offer mortgages to an applicant who's buying into a "non-approved" building, generally speaking. Nonetheless, a bank will loan to an applicant with very good financials, even though he/she is buying into a "non-approved" building. My question: If one buys into a "non-approved" building, will the mortgage rate be HIGHER than the rate if one buys into an "approved" building? If so, what's the difference in the rate, generally speaking? My banker from WF just told me that there is no difference, and I'm happy. But I've heard that there could be a marginal difference. So I'm confused. Please enlighten. CoyWolf [less]