Construction-to-perm loan questions

It's one loan that pays for building your home and then becomes your mortgage when the house is done. You apply once, get approved once and close once.

A two-time close uses two loans: a construction loan, then a separate mortgage when the build is finished. That means two applications, two closings and two sets of closing costs. A one-time close does it all in one loan, with one closing.

Interest-only payments during construction, based on what's been drawn so far. Early in the build, when less has been drawn, those payments are smaller.

The loan converts to your permanent mortgage, an adjustable-rate mortgage with a fixed period up front. There's no second closing.

No. If you already own land, its equity can help finance the build. If you're still looking for a lot, call me and we'll talk through it.

Yes. Primary homes, second homes and investment properties are all eligible.

Yes. Teardowns are eligible. A lot of my clients love the location and just not the house that's on it.

No. Modular homes aren't eligible on this program.

As your builder finishes each stage, the work is inspected and the draw is paid directly to your general contractor. My team manages draws in-house, so you and your builder deal with the same people the whole way.

Usually, yes. Your builder needs to be approved before closing, and my team walks them through what's needed.

It's based on what the home will be worth once it's built, along with your credit, how you'll use the home and the project itself. Call me with the numbers and I'll tell you where you stand.

This is a full documentation loan: income, assets and credit. If you have significant assets, they can be used as income.

Alabama, Arizona, California, Colorado, Delaware, the District of Columbia, Florida, Georgia, Illinois, Maryland, Missouri, New Jersey, North Carolina, Pennsylvania, South Carolina, Tennessee, Texas and Virginia.

It depends mostly on getting your plans, budget and builder approved. The sooner you call, the sooner we can line those up. I'd rather talk before you sign a builder contract than after.