Construction
loans are used to construct a building or for improvements
of real property. The land and improvements stand as collateral
for the loan.
Often, getting
approved for a construction loan can be tricky, In many cases,
two loans are required: one for construction and one for permanent
financing. Usually you will have to pay closing costs on both
loans, not to mention the extra paper work, time, and hassle
involved. We offer our Construction to Permanent (CTP) loans
that combine both construction and permanent financing into
one loan.
Available for either your primary residence or second home,
this is the perfect loan for the homeowner looking to do a
major remodel of their existing home or the purchase and ground
up construction of a new home. This program allows for a construction
period of 6 to 12 months. And when your project is complete,
the loan simply converts to a permanent mortgage.
Rate Improvement Option: Our 15 and 30 year fixed rate loans,
as well as our 3/1 adjustable rate loans all offer a rate
improvement option. Simply put, your interest rate during
construction is also your maximum permanent interest rate,
providing you protection against interest rate volatility
during your construction period. And if interest rates go
down during your construction period, the Rate Improvement
Option allows your interest rate to roll down to current market
rates at the time your loan converts to permanent, all with
no additional cost. It's the best of both worlds.
