Construction
loans are used to construct a building or for improvements
of real property, and 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.
