Home loans for new construction
Home Construction/Perm Loans
Mortgage Company has expanded
its “One Time Close Construction-Permanent Loan” offering. These home loans for
allow you to purchase the lot, fund the construction of your single family home
using a construction product combined with your permanent loan and close only
one time, saving you a substantial amount of money in closing costs.
I am a
home loans for new construction mortgage broker and represent 16 of the largest construction lenders in the
market. As a broker, I work for my client and not the lender, taking the time to
understand your situation and placing your loan with the lender whose programs
most closely match your situation and needs. I am able to give you unbiased
advice and support throughout the process. Construction lending is a specialized
part of mortgage banking and most lenders or brokers do not have the experience
to guide you through this complex process. I have attempted to give you some
basic information in this paper but please do not hesitate to call to discuss
your individual project. At the most fundamental level, construction lenders
offer two types of product characterized by how they base interest rates during
the construction phase. I will refer to these approaches as “One Step” and
If you have owned your lot for 1 year, or if you have documented "on site" improvements to the property, we may be able to use this equity to meet your down payment requirement or create an interest reserve account. Depending on the size of the interest reserve account, these funds may make some or all of your payments during the construction phase.
I have a list of documentation needed to process your loan.
There is a new page detailing construction loan fees.
I have detailed information on extended interest rate locks with a float down option.
I have a page on calculating mortgage qualification ratios.
I have included detailed Frequently Asked Questions and common misconceptions about the process of building your home with a construction/perm loan.
If you are not ready to build but have found the perfect lot. The new Purchase Plus Lot Loan can save you a great deal of money.