Did you know that FHA home loans can help you buy an existing home as a first-time home buyer, but can also help a first-timer or experienced homeowner have a house built for them from the ground up on your own lot or a lot you purchase in connection with the mortgage.
It’s also possible to have a manufactured home assembled for you on a lot you purchase or already own.
These loans, especially the FHA One-Time Close mortgage for building a home from the ground up, are offered to both experienced borrowers and first time home buyers alike with no difference in the basic terms and conditions.
That means that a first-time borrower is not penalized for being a first-timer; there are no elevated down payment requirements, no added closing costs, or additional fees for being a new borrower OR for NOT being one.
If you want to have a home built or assembled for you, it’s a good idea to know in advance how quickly you need to be living in the home; these types of home loans are well worth the effort, but borrowers should not expect the process to go as quickly as one where the borrower wants a house already completed and ready for occupancy.
Why are there longer processing times for construction loans and manufactured homes? Manufactured homes must be shipped directly from the dealer or manufacturer to the site where they will be situated; these homes must be permanently affixed to an approved foundation.
This process (including the transportation of the home to the lot) can be more time consuming than waiting for the owner to vacate an existing property so you can move in. The waiting factors for construction loans may include how long it takes to process building permits. Certain busy housing markets may have longer waiting times.
And then there’s the overall construction time needed to build your dream home, accomplish compliance inspections, etc.
Learn More About VA, FHA, Or USDA One-Time Close / Single-Close Construction Loans Today
We have done extensive research on FHA, VA and USDA One-Time Close / Single-Close mortgage loans and spoke directly to the licensed lenders for most states. These are qualified mortgage loan officers who work for lenders that know the product well.
Each company has supplied us the guidelines for their product. If you are interested in being contacted by one licensed lender in your area, please respond to the below questions to save time. All information is treated confidentially.
Your response to email@example.com authorizes us to share your personal information with a licensed mortgage lender in your area to contact you.
Please note that the One-Time Close / Single-Close Construction Program only allows for single family dwellings (1 unit) – and NOT for multifamily units (no duplexes, triplexes or fourplexes).
1. Send your first and last name, e-mail address, and contact telephone number.
2. Tell us the city and state of the proposed property.
3. Tell us your credit score and/or the Co-borrower’s credit score, if known. 620 is the minimum qualifying credit score for this product.
4. Are you or your spouse (Co-borrower) eligible veterans? If either of you are eligible veteran’s, the down payment is $0 up to the maximum VA lending limit for your county. If not, the FHA down payment is 3.5% up to the maximum FHA lending limit for your county.