If you’re like most people interested in building a home, you’re going to need financing. The good news is, obtaining a construction loan isn’t much different than securing financing for an existing home. Most all construction loans are converted into traditional home loans once construction is complete and the new home has been appraised.
These types of loans are commonly referred to as “construction-to-perm” or “construction-to-permanent” loans by those who speak the industry jargon. The terms of your permanent loan are typically negotiated up front before construction begins.