Georgetown construction mortgages are provided through our lender network that is made up of both bank, institutional, and private mortgage sources.
While Construction loans are primarily arranged for the actual structural building phase, construction financing can also be secured for a variety of other related stages in the overall construction process.
For example, site development or infrastructure development loans are a common form of construction financing and even before the land development stage, you may require financing to secure the property where the work will be completed.
With single family home builds, the construction build loan is followed by a take out mortgage that terms out the building costs and any other previous property mortgages into a long term repayment instrument, providing another form of related construction mortgage.
With respect to single family builds, especially self build projects where the borrower/builder would like to arrange financing through a bank or institutional lender, there typically is a requirement by the bank that the borrower needs to qualify for both the construction loan and the take out mortgage at the same time as the only way a bank will extend construction financing for a home build is if they can also get the long term mortgage as well.
Because of this bundled financing requirement, most single family homes are financed through private mortgage construction loans where there is no requirement on behalf of the private lender to have the take mortgage arranged in advance.
For larger residential and commercial projects, both bank and private mortgage construction loans are again viable options to consider. Each has their pros and cons related to the specific project and the requirements of the borrower or builder.
My role as a construction mortgage broker is to get you matched up with a lender that is a good fit for your requirements and can provide the rates and terms you’re looking for. This is another reason why we maintain relationships with both bank and private mortgage lenders as both can be relevant to many situations.
If you need a Georgetown construction mortgage for an existing project or one you are in the process of planning, I suggest that you give me a call so we can go through your requirements together and discuss the most relevant construction mortgage financing options available for your project.