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Home Construction Loans
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Home construction loans are an excellent method of obtaining the cash necessary to make home improvements or
renovations or even if you're building a custom home, you have
some options available to you within home construction
loans & they are:
- Construction-To-Permanent Loans
(Allows homeowners the convenience of closing both their home construction loan and permanent mortgage loan at one time. Since it's
all-in-one, it reduces the closing costs and minimizes the time spent on financing a home.)
- Remodeler Loans
(Designed for homeowners looking to improve a primary residence-new kitchen, bigger bathroom, room addition and cosmetic improvements.)
- Lot Loans
(If you are looking to purchase a residential lot for future construction of your primary residence or vacation
home then Lot Loan is the right loan for you. And when you are ready to build, you can ask about a Construction-to-Permanent Loan.)
- Bridge Financing or
Swing Loan (Money borrowed against a homeowner's equity in a property
usually for a short term, to help finance the purchase of another property or to make improvements to a property being sold.
So you don't have to wait to sell your old home before you build your dream home. You can access equity in your current home to use as the down payment on a Construction-to-Permanent Loan.)
You can also use this loan
to pay for materials and labor costs until construction is completed and the completed house can be refinanced over a longer term with a conventional mortgage. Repayment term of the loan is
mostly 9 to 12 months for a single family home. The interest rate may be fixed or Variable, depending on the
repayment terms of the loan.
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