View Full Version : New Home Construction Loans

03-11-2008, 02:48 PM
Anyone have a trusted mortgage broker with experience doing Construction Loans? The lender I had lined up last fall is now out of the construction loan business.

home lending is total FUBAR right now. :(

03-11-2008, 03:16 PM
In Summit County? Or front range?

03-11-2008, 03:34 PM
Summit, building in Breckenridge

03-11-2008, 06:32 PM
hit me via email. I have a 20 some year breck person for you.

john @forgings design dot com

03-11-2008, 07:06 PM
If green's contact doesn't work out, my cousin is a builder up in Breck. Let me know if you want me to give him a call. He has a few contacts I am sure.

03-13-2008, 05:41 PM
PM'd you

03-13-2008, 06:07 PM
Anyone want to throw me a recommendation for Denver metro area?

03-13-2008, 06:17 PM
What are you trying to accomplish? The "One Time Close" construction to permanent loan is an excellent product for custom home construction with a number of potential major advantages.

Don't worry about the market - if you have a well defined requirement it can be worked so you know your options. There are parts of the market that are falling out that could affect your goals, particularly the Alt-A market, but when you are looking to bring construction financing that is a different product set altogether.

PM me if you want more info - this is an excellent product to get educated on as it combines construction and permanent financing into a single loan with a single closing up front with deferred payments on up to an 18 month construction period. If you own the land, equity can be the down payment on your loan, and in certain structures you can create 100% financing with a locked rate on your long term financing and the ability to reduce the rate one time before the conversion to permanent financing if rates (continue to) drop.

A lot of brokers are unaware of how these programs work. I've seen plenty of High Country real estate advice suggesting 20% down and a 30 year fixed on investment properties (which is death to ROI), so don't assume that local = investment finance expertise if that is what you are after (even if it is your own home that you are investing in).

More info than you asked for, just for public consumption. I'm not directly in this business anymore :cheers:

03-13-2008, 06:42 PM
Thanks for everyones input.

We are currently putting the building plans on hold due to a number of factors with life, family etc... May just sell both properties and buy something turn key.

Nay, I'm a former broker myself but no longer in the business.

03-13-2008, 07:24 PM
Anyone want to throw me a recommendation for Denver metro area?

I start a new job on tuesday with a mortgage company. If you want I can ask around.

Corbet, are you considering selling property in Summit County?

03-13-2008, 07:57 PM
Corbet, are you considering selling property in Summit County?

We don't know yet. We have two properties here. A town home in Frisco and a .96 acre lot in unincorporated Summit County. We may keep one or sell both. If I do it will be done FSBO.

We don't need to rush to a decision.