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Build & Renovate#Guide

One-Time Close Construction Loan

The Mortgage Ledger · · 1 min read

One-Time Close Construction Loan

Program Details

  • Any type of residential new construction including purchasing of lot and/or building the home on it
  • Type of property – primary or secondary 1 unit property
  • Loan to borrower direct – Minimum FICO of 680
  • Max LTV is 90% (and 90% of costs) for construction – Max loan is $4M
  • Program – 5/1, 7/1, 10/1 ARM. Fixed period begins at construction closing.
  • Interest only through construction period then fully amortizing payment afterwards.
  • Draws – maximum of 5 during construction

Liquid reserves to be maintained at the higher of either the end loan requirement or at least equal to 6 months principal, interest, taxes, and insurance up to the loan amount of $650,000 and 12 months on loan amounts
of $650,001 and above.