Looking to build your dream home? Not everyone wants to buy an existing house.
Some people prefer to have a brand new house constructed instead.
If you’re wondering if there’s a mortgage for building a house, the answer is: Yes!
A construction mortgage allows you to draw down on the full amount of the mortgage at predetermined stages of the home construction. Let me explain.
Construction mortgages are given on a progress advance basis. The full amount that you need to borrow, in order to complete your construction, is given to you in stages – otherwise known as “draws” – as you complete various levels of completion.
If you already own the land you want to build on, a first advance is available as equity take-out. If you have not yet bought the land, a first advance is available to assist you with the purchase of a vacant lot.
Everyone's situation is unique to their financial standing and needs. Book a free consultation with me to discuss your options.