New construction home loans

New construction home loans allow families to afford the home of their dreams, in exactly the design and location of choice. Financing for building differs from conventional financing because of locked in rates up to 300 days before construction starts. With flexible draw schedules and interest-only new construction home loan payments, a blanket mortgage allows the consumer to start building before a current residence sells by wrapping the new construction home loan around several properties that are owned. A full understanding of terms is essential as well as a realistic view of legal, environmental, and financial speed bumps that can delay building. For instance, the majority of initial building projects fail to meet deadlines forcing buyers to move in before the work is completed. Problems or delays in building may cause financial concerns when a legal certificate of occupancy isn't issued.