REGION – You’ve toured the homes. You’ve scrolled through the listings. But everything seems to be missing something – the right location, enough space, the kitchen you want, a home office, more privacy, or simply a layout that actually works for the way you live. At some point, you may start wondering, “What if I built instead?”
Building a home isn’t right for everyone, but if you aren’t finding what you want in the existing housing market, it may be an option worth exploring.
Start with the home you want
One of the biggest advantages of building is the opportunity to create a home around your life instead of adapting your life to someone else’s home. Maybe your family is growing and you need more bedrooms. Perhaps you work from home and want dedicated office space. You may already own land, want more outdoor space, or simply like the idea of moving into a brand-new home with fewer immediate repairs or renovations.
Building also gives you more say about the details, from the floor plan and finishes to the features that matter most to you. Of course, having more choices also means having more decisions to make. That’s why understanding your budget early is so important.
Figure out financing before the floor plan
You don’t need to have a builder, blueprints, and every finish selected before you talk to a lender. In fact, financing can be a smart place to start. At PrimeLending, you can begin with a custom mortgage assessment based on your goals, budget, and current situation. From there, we’ll help you understand what you may be able to afford and walk you through the construction financing options that could fit. That gives you a more realistic price range before you get too far into plans, land, or builder conversations.
Construction financing doesn’t have to be complicated
A construction loan works differently from the mortgage you might use to purchase an existing home, because funds are typically provided throughout the building process rather than all at once.
Depending on your needs, your options could include a one-time close construction loan, which combines construction and permanent financing into one process, or a two-time close option, which allows you to refinance into a traditional mortgage after construction is complete.
You won’t be navigating that process alone. A dedicated construction lending team can help keep the financing moving, including coordinating inspections and handling progress payments to your builder as construction moves forward. That leaves you more time to focus on the part you’ve probably been imagining: watching your new home take shape.
You don’t need everything figured out
Maybe you already own land. Maybe you’ve found the perfect lot, but haven’t selected a builder. Or maybe building is simply an idea you’ve started thinking about because nothing on the market feels quite right. That’s enough to start a conversation.
You may also have more flexibility than you realize. Depending on your financial situation and financing strategy, you may not need to sell your current home before construction begins. If you already own land, the value you’ve built in that property may also factor into your financing options. The best first step is simply finding out what’s possible.
If building has crossed your mind, even as a “someday” idea, let’s talk. We’ll start with your vision, look at the numbers, and help you understand what it could take to turn your plans into a place to call home.
You deserve a home customized to your needs. Why not start with financing that is, too?
Submitted by Victoria Blodgett, PrimeLending, Ludlow, Vt.