Construction Loans

Construction With Permanent Loan:

  • 12 month term followed by amortized loan program
  • Money held in trustee escrow
  • Draws are disbursed as work is completed and inspected
  • Inspection fees are based on the number of draws
  • Customer is responsible for first year taxes and insurance. Escrow can be established after house is complete
  • One settlement – construction loan will be converted to an amortizing loan with rate and points to be determined

Contruction Without Permanent Loan:

  • 12 month Term
  • Rate and points to be determined
  • Money held in trustee escrow
  • Draws disbursed as work completed and inspected
  • Inspection fees based on number of draws
  • Customer is responsible for payment of taxes and insurance
  • After 12 months the house must be completed and the loan paid off