|
Schmidt Mortgage Corporation offer construction loans to help you build the home
of your dreams. There are 2 types of constructions loans:
1. Construction loan (2 time close) - This type of loan allows you to borrow
funds to build your home. Once the home is built, you will need to refinance the
construction loan into a permanent loan. Although construction loans have there
advantages, it may cost you more closing costs between the construction closing
and the permanent closing. In addition, your interest rate on your permanent loan
is not locked during construction.
2. Construction/Permanent loan - This loan allows you to borrow funds to build
your home as well as to convert the loan into a permanent loan once the home is
complete. You do not have to refinance the loan into a permanent loan once the
home is ready to move in. You will also be able to lock your permanent interest
rate during construction. This loan is more secure in that it allows you to determine
some of the unknowns of the 2 time construction loan.
Please contact one of our mortgage consultants for more information on choosing
between construction loans.
Thank you for your interest in Schmidt Mortgage Corporation. |