If you can’t find the perfect home, building one is an option. But a lot goes into building a house. One of the most critical aspects of building is the financing. When building, you don’t just apply for a mortgage; it takes a construction loan.
But what is a construction loan, and what are the qualifications? Knowing the ins and outs of construction loans will help your build go much smoother. After all, there are already enough headaches when building.
Construction Loans and What They Cover
A construction loan is short-term financing that covers the cost of building a residential stick home from the ground up to finish. It covers a wide range of costs, all associated with building. They include:- land
- labor costs
- material costs
- permits
