Open Mon-Fri: 8 am - 5 pm

نتحدث العربيه

(832) 551-1001

Open Mon-Fri: 8 am - 5 pm

نتحدث العربيه

(832) 551-1001

Construction Financing

What is it?

A construction financing loan is a short-term loan used to finance the construction of a home or a real estate project.

Program Details:

With a Construction Financing loan, interest rates are usually higher than traditional mortgage loan interest rates. Since Construction Financing loans are short-term loans, you are required to provide a construction timeline and detailed plans. 

Benefits of Construction Financing:

Short-Term Option

A Construction Loan guarantees that you get the needed money without accumulating too much interest, since it’s a short-term loan option.

Clear Timeline

You will have to provide the bank with a detailed drawing and a clear timeline of construction. You will be more likely to get more straightforward answers from the contractors. 

It can be a Convenient Option

Many lenders now offer a Construction Financing Loan for permanent loan. The Construction Financing Loan will give you the funds required for building your home. After construction is completed, the loan would transition to a mortgage type of loan.

Can Provide You With Cash Upfront

A Construction finance Loan can assist subcontractors to have the necessary cash to buy the needed raw materials and equipment as well as hire staff to complete the project.

Documents Needed:

    Income Tax Returns, W-2 & 1099 Statements, and Pay-Check Stubs
    Self-Employed Income Tax Returns and YTD Profit & Loss Statements for self-employed borrowers
    Retirement account statements, 401k, Mutual Funds, Money Market, Stocks, etc. 
    Drivers License, Social Security Card, Any Divorce, Palimony or Alimony or Child Support papers, Green Card or Work Permit if applicable, Any homeownership papers
    Bank and Credit Card statements
    Verification of employment form completed by your employer to verify your employment dates and current status
    Letter on the letterhead of a professional, certified CPA that provides your financial advice or prepares your tax returns for you if you are self-employed