Financing

Building the home of your dreams is a lifelong goal for many people, and this dream is easier to make a reality at some times more than others, depending on the housing market. Continue reading to learn how interest rates and other economic factors drive the housing market and what this means for buying and building new homes.

There are a few loan options when it comes to financing your new home. In addition to conventional mortgage loans, you can also consider construction loans. Here, you’ll learn how to finance building a house and find out more about these two types of loans. 

It would be an understatement to say that the housing market is booming in 2021. This was already true prior to COVID, but the brief economic downturn in 2020 did not, as some people expected, lead to a slowdown in real estate. In reality, the opposite situation has emerged: people are more eager than ever to invest in their dream homes. While average time to a sale varies based on location, sellers in many regions are now able to complete the process in just a few months or even a matter of weeks. Clearly, buyers aren’t willing to wait.

Before you start shopping for plots of land and going through designs, there’s one thing you should understand: construction loans. We’ll provide you with what you need to know about construction loans and how they work so that you can build the house you’ve always wanted.

When you’re ready to buy a new home, your first instinct is likely to look through local real estate listings online to see which homes in your area are for sale. A custom build may not enter your mind, because it seems expensive and overwhelming. But in many cases, building a home from the ground up is comparable in price to buying one.