CONSTRUCTION LOANS - with Roll-to-Permanent Mortgage Option

Construction Loans based upon prime rate are processed as single-close construction loans. During construction, the interest rate is calculated based on prime interest rate plus one percentage point, which can change monthly. Under the “interest only” scenario, you will only be paying interest on the amount disbursed through the construction process. With the benefit of the Interest Reserve account included in your loan, you will have no out-of-pocket expenses. Apply now!

Once construction of the new home is complete many permanent loan options are offered at the prevailing rates. You have a variety of options from which to choose the best loan program, rates, and payment options to meet your situation and needs.

Our loans typically do not have prepayment penalties, unless you choose the option. As you near the end of construction, we will contact you to review your best permanent loan options.

Speak with a Construction Loan Specialists now: (888) 590-7466

Once the construction of the new home is complete many permanent loan options are offered at the prevailing rates. The construction loan, with the roll-to-permanent option program, requires that you qualify for a permanent mortgage and get underwriting approval for the permanent mortgage before you close on the construction loan. You have a variety of options from which to choose the best loan program, rates and payment options to meet your situation and needs - we will walk you through this process as well. This provides you with the comfortable assurance that you are qualified for a permanent loan. Different rate lock options, when securing the loan, are available.

The construction loan must be closed in an individual’s name and be a primary residence or a second home. Investment construction loans are available but some additional guidelines must be met. Minimum credit scores for the construction loans are 620 and 660. Stated income construction loans are allowed, but assets must be verified.

Other features of the Construction Loan:

• Land purchase and payoff are allowed to be rolled into the new construction loan.
• Loan closing costs are allowed to be rolled into the new construction loan.
• Interest reserves are required to be in the construction loan in order to have the no-cash-out-of-pocket feature during construction. You can choose to make monthly payments during construction.
• A construction contingency is required to be included in the construction budget and construction loan.

  CONSTRUCTION LOAN Apply now!

  
  620 minimum credit score
  Fully Documented Loan and Stated Income/Verified Assets Approvals

  CONSTRUCTION LOAN AMOUNTS	CREDIT SCORE	LOAN TO VALUE Based on the lesser of Acquisition or Appraisal	CASH REQUIREMENT Based on the higher of Acquisition or Appraisal
  Up to - $400,000	620	90%	5%
  $400,001 - $650,000	620 -659	85%	10%
  $400,001 - $650,000	660	90%	5%
  $650,001 - $1,000,000	620 - 659	80%	15%
  $1,000,001 - $1,500,000	660	80%	10%
  $1,500,001 - $2,000,000	660	75%	15%

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  Charter Funding Construction Loans
  2221 S. El Camino Real
  Oceanside, CA 92054
  (888) 590-7466 office (760) 439-2619 fax
  www.cfconstructionloans.com