3 Things to Know About Residential Construction Loans

Oak Leaf Mortgage

If you’re planning to build a home in 2022, it’s important to understand the challenges you may face due to the changing financial and economic climates. Partnering with a lender who can provide a construction loan to fit your needs will help you to navigate rising material costs and supply chain issues, and to budget for the timeline of the build. Here are 3 things to know about residential construction loans:

1. With the current low inventory of homes on the market, building a home might be preferable over getting outbid every time you find a home you like. “In early December, there was just one new home listing in Plainfield,” explained Joe LaGiglia, Senior Mortgage Loan Originator with Oak Leaf Community Mortgage. “With so few homes available, people should have the confidence to build the house of their dreams.”­­

2. Construction loans from a local lender like Oak Leaf Community Mortgage are frequently available to those who might otherwise not be approved for one. “Our clients are local, so we don’t only rely on traditional underwriting guidelines when making lending decisions,” added LaGiglia. “We know our clients’ stories, and we provide a unique lending process with white-glove service to help navigate all the moving parts.”

3. Interest rates are predicted to rise during 2022 to balance out skyrocketing inflation, so now is the time to build. “Securing the cost of a new build now will save new homeowners money in the long run,” said LaGiglia. “Many lenders don’t offer construction loans. Partnering with Oak Leaf Community Mortgage will ensure you have someone to advocate for you from the beginning to the end of the process.”

While some larger homebuilders provide financing, those choosing to build with a mid-level custom builder will have to secure their own construction loan. Oak Leaf Community Mortgage provides incredible service to help you realize your dream of home ownership. For more information, please contact:

Joseph LaGiglia

Sr. Mortgage Loan Originator

630-936-3242

JosephL@MyOakLeaf.com

NMLS ID: 703971

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