Built your dream home through a construction loan

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The construction loans are the short term loan that can fund everything that you need to construct a new house, business structure, or a garage. The construction loans are available from numerous lenders for real estate. The construction loan could be used to make an investment or to buy land, or to build a residential or commercial property. Like the line of credit in the construction loan, also you receive the amount that you need to complete your construction project. The best thing about the construction loan is that you only pay interest on the amount borrowed. 


The payments of the construction loan are based on the outstanding loan balance as in the construction phase, and you could typically make an interest-only payment. The construction loan is a short term loan that is usually last for less than one year. Once the construction is completed, the construction loan also ends. But the construction loans are less popular due to its higher rate of interest. The construction loan could be used in different stages like purchasing land, excavation, framing, pouring a foundation, and finishing the construction. 

What are the eligibility criteria for a construction loan?

To become eligible for construction loans, you will need to have a good to excellent credit scores, stable income, low debt-to-income ratio, and a down payment of twenty percent. All the eligibility criteria must be fulfilled to get a construction loan. 

What are the types of construction loans? 

The construction loan is available in five different types that are construction-to-permanent loan, construction-only loan, Renovation loan, owner-builder construction loans, and end loans. All these loans are useful for construction projects. Construction to permanent loan is borrowed to pay off the cost of building your home, and after the construction, the loan is converted into a permanent mortgage. 

Construction only loan is borrowed to secure permanent financing. The renovation loan is a smaller loan. The owner-builder construction loans are the construction only loan taken by the borrower to act in the capacity of a home builder. The end loan is made after the construction is completed. 

If you want to borrow construction loans, then visit the website: https://securedcapital.com.au and get a variety of loans that will meet your requirements. 

Location: Australia

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