The FHA One-Time Close Loan is a reliable, government-supported mortgage program designed for single-unit, stick-built primary homes, new manufactured housing for primary residences (excluding single-wide mobile homes), and modular homes. This loan program enables borrowers to consolidate financing for construction, lot acquisition (if needed), and the permanent loan into a single mortgage. It offers a one-time, comprehensive closing with a minimum down payment of 3.5 percent (subject to your FHA county lending limit).
A single close construction loan enables you to finance both the construction of your new house and the long-term mortgage required to afford it once completed. This streamlined approach allows you to close on your home loan just once, rather than securing multiple separate loans for the property, construction, and home financing. You qualify once and go through a single appraisal, loan origination, and closing process. This not only shortens the time to build and move into your new home but also safeguards you from unexpected events in the future and prevents paying double the closing costs.
Qualifying for a one-time close construction loan is as straightforward as qualifying for a standard home loan, depending on your overall financial status and risk level. Please reach out to our office for more information and pre-qualification. To help you understand the process, we have outlined the necessary steps and loan programs available.
Contact us to determine if we can initiate the process of financing your new home construction.