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.