| First, a construction loan for a modular home will | | | | None of the work being done on your modular home |
| carry a greater interest rate than a standard | | | | will be paid for until your lender has had it inspected, |
| mortgage, because it is actually a line of credit and | | | | and when a particular phase of the construction has |
| will cover only as much of the cost of building your | | | | been completed and met inspection standards, |
| modular home as been determined in advance. These | | | | payment will be made directly to the suppliers and |
| costs will include the price of your building lot; the | | | | subcontractors. If you need to ask for more |
| cost of all building permits and other legal fees | | | | payments than the number to which your lender |
| associated with your construction; the cost of your | | | | originally agreed, you may be charged an additional |
| modular home itself; and the costs of any labor and | | | | fee for each extra payment. |
| additional materials required to finish your home. | | | | Qualifying For Construction Loans For Modular Homes |
| You may also find a lender of construction loans for | | | | Like traditional mortgages, construction loans for |
| Modular Homes who will agree to include the amount | | | | modular homes may require you to come up with a |
| of interest you pay during the construction and cover | | | | down payment. The chances of this will be higher if |
| any cost overruns. When the work on your home is | | | | you are requesting a very large loan, or don't own |
| completed, the total amount you have run up on | | | | the lot on which your home will be constructed. But |
| your line of credit will be converted to a standard | | | | there are lenders of construction loans for modular |
| residential mortgage. | | | | homes who will give 100% financing even if the |
| What Construction Loans For Modular Homes Won't | | | | person building the home doesn't own the lot outright. |
| Cover | | | | And as with a traditional home purchase, you should |
| You'll need to find other ways to finance the early | | | | establish a budget and stick with it when you are |
| stages of your modular home instruction, including soil | | | | building a modular home. You may be tempted to |
| and perk tests, building plans, and your site plan, | | | | keep asking for extras when your modular home is |
| which must be approved by your municipal zoning | | | | being designed, but dong so can throw your entire |
| board before you will be have access to the funds | | | | project budget out of whack and make it more |
| from your construction loan for a modular home. | | | | difficult for you to qualify for a construction loan for |
| How Construction Loans For Modular Homes Are | | | | modular home construction. |
| Disbursed | | | | |