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A home construction loan is a loan where the lender has to know the story behind the construction of the house before sanctioning the loan. In other words, the home construction loan can be called a story loan, which is to be understood before a decision is made. A home construction loan is one of the loans that require interest-only payments during construction. Principal payment is done only upon completion. A house is considered complete when it receives its certificate of occupancy. The interest rates in this loan are usually variable. The contractor and the lender establish a schedule based on the stages of the construction of the house, and interest is charged likewise. Another point to be considered in home construction loans is how much of the project cost the lender is willing to lend. The land that you own for the construction of the home can be considered as equity on the construction loan. With a home construction loan, you have the option of opting for the construction-to-permanent financing program wherein the loan is converted into a mortgage loan once the certificate of occupancy is issued. In this way, there is no need to make two loans; there is only one application with one closing. If this sounds feasible, it is best to rate lock from that lender. It is important to note that the home construction loan is not meant to be around for a long time. You take a loan until the completion of the home and make the necessary payments. When choosing the best home construction loan, it is best to compare the rates of the different financial institutions offering this loan. Usually, the lower the rate, the better deal is http://www.articlesfactory.com/pic/x.gif" alt="Free Reprint Articles" border="0">, but it is important to read the fine print and know the details of the different offers.
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Construction Site Accident Lawyers & Construction LawsuitsConstruction Site Accident Lawyers & Construction Lawsuits
The OSHA (Occupations Safety and Heath Administration) assumes
that there will be over 1,000 construction workers that will
suffer a work-related fatality this year while many others will
undergo substantial physical injuries which could have been
avoided. Even though construction workers are skilled laborers
who are trained in basic safety, accidents will still occur on
job sites. Just a few of the reasons some of these accidents
will occur may be due to working with faulty materials, inferior
tools and equipment, ..
Home Equity Loans provides detailed information on Home Loans, Home Equity Loans, Home Improvement Loans, Home Equity Loan Rates and more. Home Equity Loans is affiliated with Home Improvement Loans Info.
15 Construction Loan Inside Secrets To Building Your New Home.
15 Construction Loan Inside Secrets To Building Your New Home.
1. Which construction loans are available and which one should you apply for?
Home loan banking and the internet has changed the mortgage and construction loan industry forever. Today s construction loan choices include the 30 year fixed, 15 year fixed, 1 year ARM, 3/1 ARM, 5/1 ARM, 7/1 ARM, 10/1 ARM and dont forget the popular interest only loans.
The construction loan of the past was a short term 1 year loan that the customer would have to refinance into a new loan once the construction was completed.
This two time proc ..
Kent PinkertonHome Construction Loans
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