Learn about the financing terms, structuring payments for the loan, and common types of construction loans…plus the common documents needed to apply for a construction loan.
The Basics About Construction Loans SEE PROJECT »
Use this helpful resource to start mapping out a path to building your custom home! A feasibility review is an essential tool that allows you to determine where to build, what it will look like, what features will be included, & about how much it will cost.
Conduct Your Own Feasibility Review SEE PROJECT »
Once the plans have been completed, it is time to meet for a pre-bid meeting with your selected contractor. Read this article for an overview of the bidding process. Keep in mind that the bidding process may span over a month, so be patient.
Bidding the Work for New Construction SEE PROJECT »
After receiving a written estimate from the builder, it is time to secure financing for construction. This article provides key resources and guidance about obtaining financing, along with what to expect during the process.
Obtaining Financing & Signing the Contract SEE PROJECT »
Learn what to expect in the final steps of the custom home building process. We cover insurance issues, loan closing dates, setting a start date for construction, and how to manage the details once construction begins.
Get Ready For Construction of a New Custom Home SEE PROJECT »
[wpforms id=”9943″ title=”false” description=”false”]
Your budget is the foundation for every other decision you will make while preparing to build a home because it provides context for what is possible. Most people attempt to answer the question of “What is my budget?” by simply deciding how much they would be comfortable spending. Unfortunately, while this is a crucial part of the process, it ignores the rest of the picture. We advise our clients to answer the following questions in the order below. However, if you are self-financing the project, skip to question #3.
This sets what we refer to as your Maximum Loan Amount.
This is where many people get confused because if you ask the wrong questions when interviewing lenders, you’ll get vastly different answers. We recommend reviewing the information in this article on the loan type you will need before meeting with your lending candidates.
Just because a lender is will to lend up to your Maximum Loan Amount, this does not mean you will be willing to borrow and spend that amount. Consider the monthly payments as a starting point and adjust your Budget amount from there. Your chosen lender can help you with this.
This answer will come from a qualified builder during your preliminary meeting. Be prepared to discuss your budget so that the builder can help you get a better idea of what size home to design to meet your goals.