This is a "One Time Close" new home construction loan program to finance theconstruction of a primary residence or a second home providing both the construction financing and permanent loan all in one closing. This means that you sign only one set of loan documents and do not have to worry about re-qualifying, re-appraisals, additional closing costs or signing additional loan documents.
You can lock in the permanent rate at closing, and have up to 12 months to complete your new home construction. During this period, interest is charged only on the funds that have been disbursed. When the construction is completed, the permanent loan period begins.
Unlike a purchase transaction of an existing home, New Home Construction loans involves determining the value of something that is not yet constructed! To assist the appraiser and the lender in determining the value of the home after it is built, information must be provided as to:
- What is going to be built or constructed?
- What materials are going to be used?
- How much will the material cost?
- How much is the actual work going to cost?
- How much did the land cost, what is it worth today?
- How much will be spent on plans and permits?
Contact us for more details of our construction to permanent loan program, or apply now via our secure online application for a pre-qualification letter.
