Construction Loans
We offer a variety of Construction Loan programs, which enable borrowers to finance the construction of a new home. Construction Loans offer the convenience of a one time loan application, loan approval, processing documentation and loan closing covering both the Construction Loan and the Permanent Mortgage Loan. See our Learn Section for additional information on the variety of loan products offered.
The Construction Loan offers a Construction Draw Period, which enables the lender to disburse loan funds during the course of construction based on inspection of the property and on the percentage of completion of the home. Interest only payments are required during the construction draw period. Upon completion of construction and receipt of final inspection and a certificate of occupancy, the loan transitions into the Permanent Mortgage Loan. At that point, standard mortgage payments based on the permanent loan interest rate and the loan term begins.
Borrowers may apply and receive online approval for our Construction Permanent Loan programs. Special Construction loan documentation is required. Please see our Home Loan Basics section for more information on Construction Loans.
X30 YEAR FIXED CONSTRUCTION
| Best Choice If:A 30 Year Fixed Rate Loan with an Initial Construction Draw Period of 6,9, or 12 Months followed by fixed rate loan with fixed monthly payments for the remaining term of the loan. | Advantages:Consistent monthly payments. |
Construction Line Of Credit
| Best Choice If:You want an interest only payment loan for duration of the home construction. | Advantages:Interest only payments required for duration of loan. Single balloon payment at end of construction. | Disadvantages:Will require permanent loan closing at end of construction, which will require another set of closing costs. |
