CONSTRUCTION LOAN

Imagine stepping into a world where your vision of the perfect home becomes a stunning reality. With a construction loan, you can turn your dream of building a new home into a tangible masterpiece tailored to your unique lifestyle. This financing option empowers you to finance not just the purchase of the land, but also the entire construction process, allowing for the flexibility to select everything from the floor plan to the finishes.

A construction loan is a short-term financing option used to cover the costs of building a new home or making significant renovations to an existing property. Unlike traditional mortgages, which funds the full mortgage amount for an established home, construction loans are typically disbursed in stages or "draws" as construction progresses. This allows borrowers to pay for materials and labor incrementally.

Construction loans often have higher interest rates compared to standard mortgages, reflecting the increased risk associated with financing a project that is not yet complete. These loans are usually structured as interest-only during the construction period, with the principal amount due when the project is finished. Once construction is complete, borrowers may need to refinance into a permanent mortgage to repay the loan fully.

Overall, construction loans provide the necessary funding to turn a vision into reality, enabling homeowners to create custom spaces tailored to their needs.