Capital Lending Network’s One-Time Close Construction FHA and VA Home Mortgage Program combines your construction and permanent financing into one home loan to simplify the process for new construction home purchases!
- CLN’s FHA and/or VA One-Time Close Construction Home Mortgage Programs is one of the hottest mortgage programs at Capital Lending Network, Inc.
- With homes prices skyrocketing and the demand of homes outnumbering the inventory, exploring a one-time close construction loan may be a great option for homebuyers
Using the FHA and VA One-Time Construction Loans is a great opportunity to be able to build a new home with little to no down payment on a new construction home.
FHA One-Time Construction Loans
The FHA One-Time Construction Home Mortgage program is a newer loan program for homebuyers who want to build a new construction home on a lot.
- The One-Time Construction Loan Program are for primary owner-occupied single-family new construction homes
- The subject property can be stick-built homes, new manufactured homes, and modular homes
- Single wide mobile homes are not eligible for this program
- The One-Time Construction Loan Program permits homebuyers to get financing for the acquisition of the lot, the construction financing, and once the project is completed, the loan becomes a permanent end loan
- All three phases of the one-time construction loan program is a single mortgage with a one time closing
- The minimum down payment is 3.5% on the after completed value of the home
The maximum loan limit is up to the maximum FHA loan limit for the area. 2020 FHA Loan Limit is capped at $331,760. The maximum loan limit for a single-family home in high-cost areas is capped at $765,500.
FHA One-Time Close Construction Loan Eligibility Requirements
Homebuyers must meet the minimum HUD Agency Mortgage Guidelines for FHA Loans.
- Most construction loans require at least 20% down payment or more and require at least two closings
- How traditional construction loans work is the construction phase will require one closing
- Once the final construction is complete, the homeowner needs to close on an end permanent loan
- The FHA One-Time Close Construction Loan allows one single loan with one closing date
There are guidelines on how the loan will be funded during the construction phase into the end permanent loan.
VA One-Time Close Construction Loans
Capital Lending Network, Inc. offers a one-time close construction loan program on VA loans. The VA One-Time Close Construction Loan Program is similar to the FHA One-Time Close Construction Loan Program with the exception the borrower need to meet VA versus FHA lending guidelines. Borrowers need to meet the minimum VA Agency Mortgage Guidelines. Have a valid certificate of eligibility (COE). There is no down payment requirements on VA loans. There is no maximum loan limit on VA loans. VA loans are for primary owner-occupant homes only. Second homes and investment properties do not qualify. Only single family homes, manufactured homes that sit on a concrete foundation, and modular homes that is fixed on a permanent foundation are eligible for construction. Single wide mobile homes and trailer do not qualify.