Can I Get a Construction Loan from a Mortgage Provider?
Individuals searching for a construction loan can obtain one from a mortgage provider. In many ways, a mortgage provider such as Mortgage House is the best financing option. While banks provide construction loans too, it’s not their focus.
A construction loan requires a thorough financial check of the applicant. Since the applicant is asking for a mortgage provider to fund something that doesn’t exist yet, it’s a risk.
Keep in mind that mortgage providers have more freedom. Banks service millions of consumers who only need a checking, savings, and credit card. They offer loan products to them, but the process is stringent.
Banks are responsible for maintaining those accounts and minimising risk. Otherwise, it has a ripple effect. A few bad loans lead to a significant loss.
Mortgage House construction loans provide several advantages such as 24 months to plan the project, splitting the loan into two accounts to maximise benefits, and the option of making interest-only payments on the land before construction begins.
Loan specialists at Mortgage House discuss the details with applicants during the application process. For example, owner-builders face a 50% maximum loan-to-value ratio. It’s also important for our loan specialists to see the plans, other forms of financing, and intended schedule.
However, Mortgage House provides additional products that build the best loan package for every client such as the car loan.
Construction Loan Conclusion
Individuals interested in obtaining a construction loan can contact Mortgage House. Our loan specialists have a set of financial tools that allow them to find available loans for most applicants. For more information contact our team today.