Construction Loans—What You Need to Know

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Are you thinking about building a home? Unless you have the cash on hand, you will need financing. Building a home is different than purchasing a home. You take out a different type of loan.

If you plan on building, it’s essential to know the difference between a new construction loan and a mortgage.

Construction Loans Temporary

A construction loan is a short-term loan used to finance a building or renovation. The loan is typically paid in installments as the work progresses.