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Building A New Home

The very first step in building a new home is to get educated to each construction phase, total construction and financing costs by your builder and lender.

Build Your Dream Home

Are you just buying a lot of land or buying a lot of land with a builder tie-in? The next step is to develop an experienced team of local professionals; architect, custom builder, mortgage officer, and a real estate agent to guide you through each part of the process.

Construction Loan Financing

Construction financing is not the type of loan to shop for online. One can’t apply until they have building plans, a construction contract and a cost estimate.

The down payment is figured as a percentage of the total cost of the project (land and construction costs). Mortgage interest rates on construction-to-permanent loans are a little higher than on conventional mortgages. As construction funds are disbursed during construction, the lenders charge the borrower only for interest on the outstanding amount owed.

No Two Construction loans are the same

Some lenders offer construction financing as a separate, short-term loan usually no longer than a year, the borrower refinances into a permanent mortgage after the house is completed.

Other lenders combine the construction loan into a single loan, with one closing. This is called a construction-to-permanent financing which will cut down on closing costs. 

new construction

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