Plaza Home Mortgage has announced a new One-Time Close Construction-to-Permanent loan program, geared toward Mortgage Brokers and their borrower and builder clients. The new program, which is offered through Plaza’s wholesale channel, provides 30-year fixed rate financing to be locked-in at the beginning of a home-building project and the efficiency and cost savings of a single closing versus a dual closing. Standard Conforming and High Balance loan amounts are available with loan to value ratios of up to 70 percent. Closing costs may be financed, and there is no cost to the builder. The borrower is qualified at the beginning of the project and there is no need to re-qualify once the construction is completed.
“Our One-Time Close Construction-to-Permanent loan takes many of the risks and hassles out of custom home building finance,” said Jeff Leinan, Executive Vice President, National Wholesale Production at Plaza Home Mortgage. “The borrower is approved for both the construction loan and a permanent 30-year mortgage at the outset of the project. There is one closing and one set of closing costs, and the interest rate is locked during the construction period and has a float down option. This is just the kind of product that mortgage originators need to ‘build’ their business.”