Construction and Renovation Financing

Financing to build a new home typically comes in the form of a construction-to-permanent loan.  This financing options has two parts: a loan to cover the costs of construction, and a mortgage on the finished (permanent) home.

GMAC Mortgage offers two construction-to-permanent loan options: The Only One, and  The Two-Close. 

The Only One ? for the convenience of a single closing
With The Only One, you can get both construction financing and the permanent mortgage with only one application process and one closing.  Features include:

• Streamlined qualifying process
• Single set of closing costs
• Up to 12 months to complete construction
• Rate locked in at closing, with an option to ?float down? to a new rate after construction if rates have improved
• Choice of fixed-rate or adjustable-rate mortgage
• Low down payment requirements
• Interest-only payments during construction

The Two-Close ? for flexibility to make changes while you build
With The Two-Close, you get construction financing up front and close on your permanent mortgage after the home is completed.  Because the permanent loan amount is determined after construction, you can make changes and add enhancements throughout the building process.  Features include:

• Up to 12 months to complete construction
• Wide variety of programs to choose from for the permanent mortgage
• Flexible down payment options
• Interest-only payments during construction, with a floating rate based on the prime rate plus a margin

Want to learn more about our construction loans or start the application process? Contact the GMAC Mortgage Construction Lending Group online.