20
Do I put money down on a construction loan or when I get a regular loan or both?
6 Comments · Posted by admin in construction loan
We are getting ready to get a construction loan but we need to know if we put money down on just the loan or when we get the regular loan?
First of all. To all the meanies out there. I’m not getting the loan tomorrow. I think that this is a fair question. When I say we are getting ready it means we have land and that we are collecting data to get a construction.
So kiss my ….
the mortgage company i used to work for has a 10% (of the value of the land and structure combined) minimum down payment from borrowers needing a contruction to permanent loan. if you already own the land free and clear the value of that parcel will be considered in the 10%. but if the builder is financing the construction, the regular down payment guidelines will apply.
No tags
A little Southern Comfort · July 20, 2010 at 10:48 am
Construction
References :
boomy haha · July 20, 2010 at 11:38 am
construction
References :
P J · July 20, 2010 at 12:11 pm
You are in deep trouble if you do not know the answer to this question. At MINIMUM you should have an agent or Lawyer who is looking out for your interests.
Have you a contract that addresses issue like not being done on time and a dollar amount due for each day the house is not finished? Does your contract address the percentage of over budget you are willing to accept? Does the contract allowy you full inspections once the house is finished and ready to move into, yes even on a brand new home? If you have even one of these things that are not addressed then find a Lawyer versed in realestate immediately unless of course you have already signed contracts without assistance. In which case you WILL be back here with other issues.
References :
John S · July 20, 2010 at 12:30 pm
the mortgage company i used to work for has a 10% (of the value of the land and structure combined) minimum down payment from borrowers needing a contruction to permanent loan. if you already own the land free and clear the value of that parcel will be considered in the 10%. but if the builder is financing the construction, the regular down payment guidelines will apply.
References :
previously a mortgage loan officer of 11 years.
CJKatl · July 20, 2010 at 1:10 pm
An earlier poster is correct. You need to educate yourself on what you’re about to do. It is inconceivable that you would have this basic a question and you think you are "ready to get a construction loan."
Would you be ready to perform surgery without going to medical school first? Would you allow that surgeon to perform on you? Yet you’re willing to engage in such a major endeavor – building and financing a home – without much prep. Think about it. You get the wrong loan or you give someone money you shouldn’t have and you’re going to be hurting financially for years to come!
If you think "draw" is only something does in art class or the poker table, you’re not ready to build. (Your builder will be paid in draws.) If you don’t know the difference between a lot and a site, you are not ready to build. (The site has utilities and access arranged.) And there are so many other things like this…
Get ye to the bookstore at once! Check resources like http://www.hud.gov. And use sources like http://www.building-cost.net. and http://www.bankrate.com to be sure you’re not getting ripped off.
References :
Whats my Name · July 20, 2010 at 1:18 pm
You post your profile on this webiste and then lenders come to you. I recommend trying
http://www.creditloansonline.comYou post your profile on this webiste and then lenders come to you. I recommend trying
http://www.creditloansonline.com
References :