| |
|
|
Owner Builder Financing Planning Guide |
|
| |
Getting Started |
|
|
|
| |
Credit Approval |
|
Owner Builder Financing 101 |
|
| |
Project Approval |
|
Owner builder financing is different than financing an existing home purchase. You need money available to purchase land, materials, and labor at different time intervals during construction. This is accomplished by obtaining an owner builder construction loan. The construction loan is a short-term, temporary loan designed specifically for this purpose. |
|
| |
Construction Draws |
|
|
| |
|
|
|
| |
|
|
|
| |
|
|
3 Loans in 1: Land - Construction - Permanent Financing |
|
| |
|
|
Paying for three loans with separate closing costs and application fees can be expensive and time consuming. Many lenders offer to provide all 3 of your loans (land, construction, and permanent) with one closing, one application and one set of closing costs. This is the best owner builder financing option available because it will save you both time and money. We call this a construction to permanent loan. |
|
| |
|
|
|
|
| |
|
|
Divide and Conquer |
|
| |
|
|
There are two parts to your construction to permanent loan approval. The first is the credit approval and the second is the project approval. While your lender is processing your credit approval with the information you provided, you can begin the process of the project approval with the help from your BuilderCoach and the online GreenHomeCoach owner builder program. The informational links on this page will describe the documentation necessary for both parts of the process. |
|
| |
|
|
|
|
| |
|
|
Summary |
|
| |
|
|
The information in this section will help you compile and organize the information needed to complete your mortgage application. The financial planning stage is a very important part of building your own home and maximizing the amount of money you save in the process. Knowing the amount of money that is available for your project will allow you to design and build the right house for your budget. By doing a "3 in 1 loan" you will save on closing costs and secure your end loan prior to the start of construction. |
|
| |
|
|
|
|
| |
|
|
 |
GreenHomeCoach Tip |
|
| |
|
|
|
You become a cash buyer once your loan is in place so you can negotiate better pricing and service from your sub-contractors and suppliers. |
|
| |
|
|
|
|
