Building your dream home can be easy and affordable.

Benefits of a Telcoe FCU Construction Loan:

  • Competitive Rates
  • Up to 80% financing
  • No Maximum loan limit.
  • Must meet construction loan guidelines.
FAQ’s

How much do I need for a down payment?

This amount will vary based on your loan type. Down payments for construction loan is minimum 20% of the cost to build plus the cost of the land.

What does my credit score need to be?

The minimum score to qualify for a home loan is 680 and requires an excellent credit history. The higher your credit score the more options you have for financing your home.

What kind of documents will I need to provide?

This list is not comprehensive and can grow quickly depending on your personal situation.

Copy of plans, specifications and contract to build
Current paystubs to include the last 30 days
Current bank statements to include 30 days
Last 2 years of W-2s
Signed copies of your last 2 years of Federal tax returns with all schedules
$550 deposit for appraisal

What is private mortgage insurance (PMI) on a conventional loan?

Mortgage insurance protects lenders in case a borrower defaults on a loan. If your down payment is less than 20%, you may be required to have mortgage insurance. The cost of PMI will be rolled into your monthly payment.

What are closing costs and who pays them?

Closing costs are fees to process and close your loan. Some examples include title insurance, appraisal, recording and credit report fees. You’ll be responsible for closing costs.

What is included in my estimated monthly payment?

Your monthly payment will typically include principle, interest, taxes and insurance (if applicable, mortgage insurance)