who does VA construction loans

A VA construction loan is probably one of the most difficult loan products to find. Although VA allows for it, I'm not aware of any lenders out there that does them.. i'm not saying there isn't one, im just saying im not aware of any.. Try contacting a local mortgage broker and ask them if they know of any.. Since brokers typically work with numerous lenders, they are more equipped in finding you that loan if someone local actually does them.. good luck,...I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com

We do VA construction loans 800-485-1387 Ext 116 or ballen@bankofengland1.comApplying for a VA construction loan follows the same general process as applying for a standard VA mortgage for home purchase. Prior to all lending considerations, borrowers must satisfy VA eligibility requirements. Borrowers must also obtain a VA Certificate of Eligibility and fill out a VA loan application.Once pre-approved for the VA mortgage loan, funds will be initially disbursed to finance the land purchase where the prospective property will be constructed. Afterward, the remaining funds of the mortgage will be transferred to an escrow account, from which the builder will be paid. When withdrawing funds for payments from the escrow account, the lender will require permission from the VA borrower in writing.VA Construction and Mortgage PaymentsUnlike the traditional payment schedule of VA mortgages, VA construction loans vary depending on if the borrower purchases an existing property or a new construction home. In the former case, borrowers will begin mortgage payments immediately, although for the latter, borrowers will not pay until construction has been completed.Borrowers who secure VA construction loans will be responsible for the mortgage payments that accrued during the home construction, but at a later date. For instance, if the home construction takes 12 months to finish, the borrower must pay an adjusted monthly mortgage in order to compensate for the time that the mortgage was unpaid during home construction. Alternatively, borrowers may elect to pay a balloon payment at the end of the loan term to cover the deficiency.Either way, borrowers can best anticipate these payments by depositing mortgage payments into savings during the construction phase of the process. Once the home is finished and payments start, the home buyer will already have money in reserve and will not risk falling behind on either higher interest rates or a balloon payment.

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