New Construction Financing Options
(For Lender funded and Builder funded Options)

For all your home financing needs, IPI Mortgage Corp. has the perfect loan program for you. Building a new home can be a rewarding experience, and deserves special attention when it comes to obtaining your mortgage.
The majority of existing home sales close within a 60 day period. In new construction, a typical time frame from contract to closing is 120-150 days. It is this single element of additional time that poses a problem to the borrower, because the lenders customarily charge a premium to lock an interest rate beyond 60 days. Depending on market conditions, it may be prudent to "float" the rate (your rate will then increase or decrease with changes in the market) until you are within 60 days of closing.
Below are a few recommendations, as well as a short list of programs we offer specific to new home construction.

Choose Your Lender Wisely:
As I've mentioned before who you're doing business with is critical to your prolonged happiness and peace of mind. Local underwriting and processing is a plus, as well as flexibility with closing issues such as final inspections and "C of O" requirements. Above all do not choose this individual or company just because they have "the lowest interest rate around" the day you call. Remember, in most cases your final rate will be determined at a later date, possibly 60 days before closing.

A Quick Approval: The Essential First Step:
It makes sense to have a firm commitment for your mortgage as soon as possible. This enables the building process to begin sooner and close sooner, protecting you from the potential of rising interest rates during construction. In most cases the builder does not want to start your new home until you've removed all contract contingencies (such as selling your current home, and having a firm commitment for a loan on the new one). You can even apply for a "pre-approval" prior to negotiating your sale. Try to find a lender with the ability to approve your mortgage within 3-5 days of your application, subject to an appraisal of course.

IPI Mortgage Corp. provides a construction finance loan to homebuyers to accommodate not only the Homebuyer but the Builder and Contractors too.

IPI Mortgage Corp. allows a Homebuyer to finance 100% of the cost of construction and closing costs provided the property has a completed value of 110% of the loan amount. Upon closing, IPI Mortgage Corp. distributes loan proceeds on a 5-draw schedule designed per the builder's request.

Throughout the construction phase the Homebuyer is responsible for interest only on the construction finance loan. The Homebuyer/Builder has 120 to 180 days to complete the construction and provide a Certificate of Occupancy. If they do not meet the required time frame, the construction phase will continue however, they could be subject to a penalty.

IPI Mortgage Corp. provides construction financing on FHA, VA, supreme and Brokered Loans. With all the different types of financing available IPI Mortgage Corp.prepared to offer you a wide range of programs, competitive interest rates, and a proven record of excellent customer service.

IPI Mortgage Corp.| Tips | New Construction Financing Info
Michael Catalino~Senior Lender Consultant
IPI Mortgage Corp.
5 Tobey Village Office Park  Pittsford, NY 14534
Toll Free (877) 415-2224~Office #l (585)381-1100 x 223~ Fax (585) 381-2519

Registered Mortgage Broker~NY & PA Banking Department~Licensed Lender/Broker~CT,FL,MA,NJ,RI Banking Departments

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