1. How much do I need for a down-payment?
There are several types of mortgages offered for construction loans which require different down-payment amounts. These loans include conventional, FHA, USDA, and VA loans. Conventional construction loans require as little as 10% down and will allow the lot or land as collateral towards the 10%. FHA loans require as little as 3.5% down and USDA and VA loans may be obtained with 0% down if the land or applicant meet certain criteria.
2. How hard is it to get financing?
Getting financing can be a pretty straightforward process and can be started online. Clients can also take advantage of a free consultation. Our lenders will be looking for the following documentation: Current Pay Stubs (Most recent 30 days worth of paystubs), Last 2 Years W-2s and/or 1099’s if applicable, Tax Returns For The Past Two Years – Including All Schedules With Any Associated W-2s, K-1s, Or 1099s, Bank Statements For The Past Two Months – All Pages, Investment Account Statements For The Past Two Months – All Pages, Retirement Account Statements For The Past Two Months – All Pages, Copy of Driver’s License For All Loan Applicants, Credit Card Information For Appraisal Order.
Approval for a loan is based on several factors including, amount of down-payment (usually at least 10% for conventional loans), FICO score (usually needs to be better than 640, a score of 720 or higher will get the best rates), debt to income ratio (needs to be less than 40%), payment history (as few late payments as possible), and employment history (a 2 year employment history with the same company is optimum).
3. How long does it take to build a new home?
It typically takes 3-4 months to build your home once we have begun construction. However, it takes some additional time to do all of your initial paperwork and select your colors & options before we begin construction. As a result, we recommend that you plan on at least 4-6 months before expecting to move in.
4. Do your homes come with a warranty?
Yes, every new home comes with a 1 year warranty on materials, a 2 year warranty on workmanship, and a 10 year structural warranty.
5. Are your homes energy efficient?
Our homes come with Low-E insulated vinyl windows, energy star appliances, programmable thermostats, and a minimum of a 14 SEER HVAC system.
6. Can I make changes to your floor plans?
Yes, most changes can be made before permitting. After the shell or structure of the home has been completed, only cosmetic changes can be made like flooring and paint.
7. Will you build from a set of plans I have?
Yes, however since most plans aren’t engineered for the state of Florida, they may need to be re-engineered to pass Florida building codes which may add additional cost.
8. What is the first step in the home building process?
Before any of the home building process starts, it is very important to be pre-qualified for a construction loan if you are financing. This will help establish a budget so we can plan for a home that is within budget.