Building A Home
Hassel Free New Construction Loans
Congratulations! You are ready to purchase a newly built home!
How do I get a new
construction loan?
Getting a home loan for a new construction home is similar to getting a loan for an existing home, but there are a few key differences to be aware of. Here are the general steps to getting a home loan for a new construction home: determine your budget, choose a builder, gather your documents, submit your application, get pre-approved, review the contract, and close the loan! Remember, the home loan process can be complicated and time-consuming, but working with a reputable lender can help make the process smoother. Be prepared, ask questions, and make sure you understand the terms of your loan before signing on the dotted line.
Frequently Asked Questions:
What are the benefits of a new construction home?
There are several benefits of purchasing a new construction home over a regular home. The first of which is customization. When you purchase a new construction home, you often have the ability to customize features such as flooring, countertops, cabinetry, and paint colors. This allows you to personalize the home to your taste and preferences.
New construction homes are built to modern energy-efficient standards, with features such as insulated windows, energy-efficient appliances, and improved HVAC systems. This can result in lower utility bills and a more comfortable living environment.
New construction homes typically require less maintenance than older homes, as everything is brand new and built to last. You won't have to worry about replacing a roof or HVAC system for several years. They also often come with warranties, which can provide peace of mind and financial protection in case anything goes wrong with the home.
They are built to the latest building codes, which can mean improved safety and durability. They also often feature the latest technology, such as smart home systems and high-speed internet connectivity.
What is the loan process?
Here's how our home loan process works:
- Complete our Mortgage Qualifier
- Receive personalized loan option
- Compare mortgage interest rates and terms
- Select the offer tailored to your needs!
What are the key features?
- Fixed Rates
- Adjustable Rates (ARM)
- 3% Down Payments
- Conforming Loans
- Jumbo & Super Jumbo Loans
- Terms from 5 to 30 Years
Do I qualify?
To qualify for a mortgage, lenders typically require that you have a debt-to-income ratio of “43/49.” This means that no more than 43% of your total monthly income (from all sources, before taxes) can go toward your new mortgage payment, and no more than 49.99% of your monthly income can go toward your total monthly debt (including your mortgage payment). VA and FHA loans even allow for higher debt ratios on a case by case basis.
What is the minimum downpayment needed to buy a new home?
Your credit score is a critical factor that lenders use to determine your minimum downpayment amount. You can get preapproved with a downpayment as low as 5%.
What documents are needed to purchase a home?
Your loan officer will require documentation such as tax returns, W-2 forms, pay stubs, and bank statements. Have these ready to provide to your LO.