Building Your Dream Home with a Construction Permanent Loan

 

Whether you're building, renovating or remodeling, a Construction Permanent Loan could be just what you're looking for in terms of financing.  This type of loan combines the features of a construction loan, the advantages of a traditional mortgage and the following benefits:

• One-time settlement to save you closing costs
• 12-month construction/building period
• Your choice of a fixed or adjustable long-term mortgage
• Loan amounts up to $2 million
• During the construction phase, only pay interest on the amount advanced
• Funds can be used for lot purchase and construction
• Construction available for new or pre-owned lot/current home renovations
• Your rate is locked during the construction period.  If you select a fixed rate permanent mortgage, the same rate will continue throughout the permanent phase.
• You choose your own licensed builder/contractor

At the end of construction, your loan will convert to either a fixed or adjustable rate mortgage.  With a fixed rate mortgage, the interest rate locked at application will be your same interest rate until the loan is paid off protecting you against rising interest rates and helping you maintain your monthly budget.

Working with a community lender like Arundel Federal also has added benefits.  Draws are normally funded within 24 hours after receipt of a inspection report, loans for self-managed construction jobs are considered and construction scheduling assistance is provided.  Also, we make affordability easier for Anne Arundel County residents with an increased conforming loan amount of $560,000.00 (standard AAC conforming limit is $484,350).

When you're ready to start laying the foundation for your dream home, renovate your existing primary residence or need help deciding how to get started, contact one of our Loan Originator.