The approval of any type of mortgage can be tedious. Knowing the process, who is involved and why, and what documents are needed from each entity can help you prepare for a stress-free financing experience.
You will be asked to send documentation to support the information provided on the loan application. Documents will be gathered from both the borrower and builder. These documents will support the proposed-construction appraisal and title work.
It's time to break ground! The builder should proceed with obtaining insurance, permits, etc. Construction will commence and for the next several months you will watch your dreams be built before your eyes!
Kick back and relax in your new home, that you created! Throw a housewarming party, cook gourmet meals in your new kitchen, enjoy a candle-lit bath, play in your new yard... you deserve it!
You're in Good Hands!
Libra Enterprises, LLC dba Construction Financial Solutions is licensed under the laws of the State of Texas and by state law is subject to regulatory oversight by the Department of Savings and Mortgage Lending. Any consumer wishing to file a complaint against Libra Enterprises, LLC dba Construction Financial Solutions should complete, sign and send a complaint form to the Department of Savings and Mortgage Lending, 2601 North Lamar, Suite 201, Austin, Texas 78075. Complaint forms and instructions may be downloaded and printed from the Department's web site located at sml.texas.gov or obtained from the Department upon request by mail at the address above, by telephone at its toll-free consumer hotline at 1-877-276-5550, by fax at 1-512-475-1360 or by e-mail at email@example.com.
The Department maintains a recovery fund to make payments of certain actual out of pocket damages sustained by borrowers caused by acts of licensed Residential Mortgage Loan Originators. A written application for reimbursement from the recovery fund must be filed with and investigated by The Department prior to the payment of a claim. For more information about the recovery fund, please consult The Department's website at sml.texas.gov.
National Mortgage Licensing System Registry #1771431. Construction Financial Solutions is located at 18568 Forty Six Parkway, Suite 3002, Spring Branch TX 78070.
Lenders are required to provide the "Your Home Loan Toolkit", which has been provided by the Consumer Finance Protection Bureau created to comply with federal law pursuant to 12 U.S.C. 2604, 12 CFR 1024.6, and 12 CFR 1026.19(g). This is for all loan transactions effective 10/3/2015.
Once all documents are obtained the loan file will be submitted to underwriting for approval review. It is the underwriter's job to analyze all aspects of the loan file. Most likely the underwriter will request additional documentation for the approval.
If you are unsure of the size and style of home you want to build, online research provides many sites that can provide sample floor plans. Once the type of home you want is narrowed down it is time to start interviewing builders to obtain cost estimates.
Congratulations, you made it! When the Clear-to-Close is provided by the underwriter it is time to sign the legal documents through the Title Company. All borrowers, co-borrowers, co-signers, non-purchasing spouses, and the builder must sign.
When you see counter tops and cabinetry being installed, this typically means you are about 60 days out from completion. You will need to provide updated financial documentation to support the refinance into your long-term mortgage.
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It is not necessary for the borrower to already own the land. The transaction can be based on a land purchase, land loan payoff or if the borrower already owns the land free and clear. Any equity in the land will be applied toward any required deposit.
Now that you know the total cost of the home [land + build] it is time to complete an application for pre-approval. Upon receipt your credit report will be pulled and your financial stability will be assessed. Credit reports are good for 90 days.