When you plan on owning a home, you can either buy a prebuilt home or construct a new one. However, building a new home from scratch is the more attractive option that allows you to customize your dream house. People looking to build a home and escape the rent trap getting a home construction loan is a great option to finance their home building project. At Stop Renting Perth, we can help you get a home construction loan regardless of your credit score and ability to pay a deposit. However, most people who plan on building a home aren’t sure what a home construction loan is. To help anyone wondering what a home construction loan is, we will help you understand it and how it can help you build your dream home.
Ready to stop renting and own your house? A home construction loan is your way out
A home construction loan might be your ticket to get out of the rent trap so you can stop renting and own your house by building one. A home construction loan is specifically designed for people looking to construct a new home or do major renovations to their home. Not to be confused with a regular mortgage, this loan can not be used to buy a prebuilt home, so it is exclusively for individuals ready to construct a new home.
Since home construction is a multi-step process, our team makes sure that potential candidates understand that a construction loan’s payments are received with each construction step. The significant advantage of a construction loan is that you only pay interest on the amount you have received for each step of the construction and not for the whole loan. For example, you will receive your first construction loan payment when the base of your home is being laid down. Then you will get the second loan payment for the frame construction stage and so on.
For anyone wondering how to get out of the rent trap, we suggest you meet us to discuss your qualification to get a home construction loan.
How do home construction loans help you to get out of the rent trap?
The amount that you would usually pay for renting a property to live in can be used to pay off the home construction loan, and at the end of the day, you will have a place to call home. This makes home construction loans an excellent option for anyone fed up with paying rent that doesn’t add any value to their wealth.
The best part is you can convert your construction loan into a regular mortgage when your home is entirely constructed, and we can guide you through each step of the process.
If you are reading this chances are you want to stop renting and buy or build your home. Just get in touch with us, and we will help you build your dream home with all the support you need.