Like Tree0Likes

Help! Where to get a mortgage ??

Reply
Old 03-20-2002, 08:47 AM
  #11
Registered
 
Playn's Avatar
 
Join Date: Jan 2001
Location: BRENTWOOD, TN
Posts: 4,367
Default

Boot, We've always been able to find a company to finance the construction process. If there are any "home shows" going on in your area lenders usually set up booths in those. You may also want to check local lumber companies some offer construction loans and work with local lenders. All companies have different requirements but most want to stick with 4-6 "draws". In our experience it has been on a "percent complete" not a blanket dictated percentage but like I said, all have different requirements. We've done this several times each time with different lenders (some are easy, some are a pain)

I found this web page that lists construction lenders in NJ. You may want to call a few of these to see what their deals are.

Just make sure your appraised value is higher than your loan amount so you don't come out of pocket

Good luck

http://homeplans.hsh.com/cloan/cloan...y.asp?state=nj
Playn is offline  
Reply With Quote
Old 03-20-2002, 09:53 AM
  #12
Charter Member #943
 
OnTheBay's Avatar
 
Join Date: Feb 2001
Location: Bowleys Quarters, Maryland
Posts: 146
Default

Boot,

I am going through this right now. I go to settlement on the 27th of March. Here is what I did. I bought a 1-Acre waterfront lot with a small 1,000 sq. ft summer home on it. It needs to be bulldozed and a new home built. I looked for someone to do the construction to permanent loan mortgage, after a good two weeks of looking I was not too happy with any of the programs. Constructions to permanent loans are difficult and not too attractive and the interest rate was not very competitive on the permanent loan. Because of the time limit to obtain financing on my contract I had to go a different way. I got a conventional loan for the current lot and house, which required only 5% down, plus closing costs. One catch is that under FannyMae underwriting, mortgage companies like the improvements on the property to be valued at 60% of the total mortgage. Because this 1-acre is on the water this loan did not meet that criteria, it was only 30% improvements, so it had to go through manual underwriting which is a little more difficult because the underwriter manually goes through the entire loan. But it was not as hard as some I’ve been through. Prior to going this way I spoke with a local mortgage company who indicated that once I own the property they will give me a new mortgage based on “stated value”. This mortgage company indicated that it is easier to do once you own the property. The stated value is what an appraiser indicated your property will be worth which will give me the money necessary to build the new home without doing scheduled draws like a construction to permanent loan. Sorry to pontificate here but this was not an easy process. Bottom line is that I had to get the property first, then I dealt with the improvements. Best advise I can give Good Luck!
OnTheBay is offline  
Reply With Quote
Old 03-20-2002, 10:05 AM
  #13
DJD
Registered
 
Join Date: Oct 2000
Location: Greenwich CT. U S of A
My Boats: 38' Cigarette, 42'Post, Driver:F2-07 Wild Child
Posts: 1,839
Default

Eh Hem, MILLER!!!!
You posted the WRONG NUMBER! I am not in that business LOL.
Marcus can be reached at (203) 622-4499
DJD is offline  
Reply With Quote
Old 03-20-2002, 12:08 PM
  #14
Registered
Thread Starter
 
Join Date: Dec 2000
Location: Flemington, N.J. U.S.A
Posts: 2,164
Default

Thanks DJD . Glad I didn't call yet !

Onthebay, Thanks for all the details . She needs to find a way to pay for the property too .

Playn, Thanks for the link ! Every little bit helps .

I also found this helpful site if anybody wants to see Rates of lenders:

http://www.bankrate.com/brm/rate/mtg...t=4&market=127
boot is offline  
Reply With Quote
Old 03-20-2002, 12:26 PM
  #15
Charter Member #943
 
OnTheBay's Avatar
 
Join Date: Feb 2001
Location: Bowleys Quarters, Maryland
Posts: 146
Default

Quote:
Originally posted by boot
Onthebay, Thanks for all the details . She needs to find a way to pay for the property too .
Boot, my mortgage does include the property.
OnTheBay is offline  
Reply With Quote
Old 03-20-2002, 01:18 PM
  #16
Platinum Member
Platinum Member
 
Join Date: Nov 2000
Location: Greenwich CT USA
My Boats: fast boats
Posts: 193
Default

If you need a residential mortgage anywhere in the USA..Call Marcus Zavattaro (a.k.a. Waterspeed) at 800-711-5394. Low rates, great service!!!
waterspeed is offline  
Reply With Quote
Old 03-20-2002, 02:07 PM
  #17
Registered
 
Join Date: Nov 2000
Location: Glastonbury, CT
Posts: 889
Default

What if you get a basic mortgage first on the exisitng property then after closing get a equity loan. If your credit and income is good you can find a bank to work with you.
boomer is offline  
Reply With Quote
Reply

Related Topics
Thread
Thread Starter
Forum
Replies
Last Post
stageharbor
Insurance and Finance
3
12-13-2007 05:26 PM
Boomer35
General Boating Discussion
5
07-18-2006 10:01 AM



Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On



All times are GMT -5. The time now is 05:43 AM.


Copyright 2011 OffShoreOnly. All rights reserved.