Ever dreamed of building your dream house? Or have you found the dream house, but it needs some major construction renovation? Construction lending has never been easier! The construction loans I have to offer are fantastic because the borrower qualifies up front for the entire project and does not have to requalify at the modification (move in) point. This avoids the buyer having requalification problems later such as credit issues or job change/job loss.
What do you need the loan for?
Lots and land to build on
Construction of a primary residence
2nd Homes, Modular & Log Homes
Remodelers and Purchase Remodelers
Loan amounts to $3M; LTV’s to 90%
How do I qualify?
Full Doc, Stated Income & No Ratio – credit scores as low as 680
Debt to income ratios usually 50%; can go up to 65%
Free interest rate float down option at perm
No fee to modify to perm loan
Interest Rate Protection
Multiple Hybrid Arm and fixed rate products available at modification
Final details
Single close at the beginning of construction
Prepaid costs are included in the 10% down (costs such as permits, plans, plots, etc)
Bridge loan from current residence can be included in loan
Payment on bridge loan and all other construction costs are not made during the construction phase
Interest accrues during the construction phase
Fixed rates are higher during construction, but can float down to current market rates at modification. Arms generally have better rates.
