Match your home construction project with the right construction loan. Not sure which is right for you? Contact an Evergreen loan officer for advice you can build on.
Get a loan for small or large renovations to your existing property.
Get money for new home construction or a manufactured home on a nice piece of property.
Home construction loans have higher qualifying requirements. Typically a minimum credit score of 620 with a low debt-to-income ratio is needed as proof of ability to repay.
Yes, a construction loan may include the cost of land, landscaping, contractor labor, building materials, permanent fixtures, and permits.
There are different types of construction loans to build a home. Here are some common ones:
Construction-to-permanent loan – A one-time close (OTC) loan that covers the cost of the lot purchase and new construction, and then automatically converts to a permanent mortgage.
Construction-only loan – A short-term loan that covers cost of the construction phase of a new home.
Renovation loan – A loan that’s used for home upgrades instead of new construction.
Owner-builder construction loan – A construction-to-permanent or construction-only loan for scenarios when the borrower is also the builder.
End loan – A traditional mortgage that pays off initial financing for the construction phase of a new home.
A home equity line of credit (HELOC) is a second mortgage with a line of credit that allows you to borrow against the equity in your home. Similar to a credit card, you use the available funds from a home equity loan as needed.