Securing the financing for your custom dream home may seem daunting, but we’re here to help you with everything from deciding on a budget to arranging the construction loan. Financing your home doesn’t have to be complicated and we work with two large lenders to make the process as smooth and easy as possible.
The most common way to finance home construction is through a Progress Draw, in which the money is advanced in intervals as the home is being built. Usually four draws are made, at 16 percent, 50 percent, 75 percent and 100 percent completion. A Land Draw may be required if you are also purchasing the home site. If you already own the land, the bank can apply any equity as a down payment for the construction loan.
Arranging a Progress Draw requires a lawyer; if you do not already have a lawyer, you can use ours, further streamlining the process. Required Documentation
The following documentation is needed for a Progress Draw loan:
- Employment and income verification
- Proof of down payment or equity in land
- Signed contract with builder
- Offer to purchase for land or a copy of the title if already owned
- Plans and specifications
- Appraisal of lot and home
- Insurance certificate
- Third-party warranty information
Let Fine Line Homes give you the benefit of our experience in construction finance, along with the tools and contacts required to speed up the process and have you settled in your dream home as quickly and easily as possible.