Frequently Asked Questions Related to Construction Lending

What is a construction loan?
What is the process of getting a construction loan?
What can I build with a construction loan?
How does a constuction loan compare to a typical purchase loan?
Can I use a construction loan to construct commercial real estate?
How does an appraisal work for a building that doesn't exist?
I already own the land. Do I get credit for this?
I don't own any land. Do I need to buy the land first before constructing?
I recently purchased a lot of material. Can I use that for my construction?
How do my payments work on a constuction loan?
Can I defer payments during constuction?
What are the initial requirements for a construction loan?
I already own a house. You said constuction loans are only for primary and secondary residence. Can I do a contruction loan for another house?
How long do I have to build my home?
What is the difference between a one-time and a two-time close?
Why would I use HomeStart to do my construction loan?

What is a construction loan? back to top

What is the process of getting a construction loan? back to top

What can I build with a construction loan? back to top

How does a constuction loan compare to a typical purchase loan? back to top

Can I use a construction loan to construct commercial real estate? back to top

How does an appraisal work for a building that doesn't exist? back to top

I already own the land. Do I get credit for this? back to top

I don't own any land. Do I need to buy the land first before constructing? back to top

I recently purchased a lot of material. Can I use that for my construction? back to top

How do my payments work on a constuction loan? back to top

Can I defer payments during constuction? back to top

What are the initial requirements for a construction loan? back to top

I already own a house. You said constuction loans are only for primary and secondary residence. Can I do a contruction loan for another house?

How long do I have to build my home? back to top

What is the difference between a one-time and a two-time close? back to top

Why would I use HomeStart to do my construction loan? back to top