Residential Construction Loan
Mortgage Company has expanded
its “One Time Close Residential Construction Loan” offering. These
residential construction loan programs allow you to purchase the lot, fund the construction of your single
family home using a residential construction loan combined with your permanent loan and
close only one time, saving you a substantial amount of money in closing costs.
residential construction loan questions.
I am a
residential construction loan mortgage broker and represent 22 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 residential construction 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 given you some
basic residential construction loan information hear but please do not hesitate to call to discuss
your individual residential construction 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
This page is
focused on new construction, if you are interested in renovating an existing
home please go to my construction
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.
Several Residential Construction Loan include:
One Time Close
Residential Construction Loan Single Rate. "One Step"
program which protects you against increasing rates and extended lock fees.
Interest only fixed rate during construction and modifies into a permanent
loan after construction. Great flexibility and low rates on ARMs.
One Time Close
Residential Construction Loan Prime Rate
Based. "Two Step"
you to borrow up to 95% of your total cost for a Principal Residence and up
to 90% on a Vacation Home. Based on the Prime Rate during the
construction period with interest only collected on funds disbursed. Allows a 12 month construction phase.
Designed for those who found the perfect lot but are not ready to build.
I have written a
covering them, and a construction FAQ
I have a list of documentation needed.
There is a new page detailing residential
I have detailed information on extended
interest rate locks with a float down option.
I have a page on calculating mortgage qualification ratios.
have included detailed Frequently Asked Questions and common
misconceptions about the process of building your home with a construction/perm
I have also included information on the specialized areas
of log home, modular
home, or timber frame home
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.
New! One of my favorite lenders has
finally reopened their lending department. They offer you the ability to
modify into the incredibly flexible Cash Flow Loan
Certified Mortgage Planning
Specialist, I offer an analysis of
your situation today can make suggestions on how small changes in how
your debt is structured today can have a life changing effect in the years
to come. Read more
about this free, no obligation service.
Prequalify for your