Owner-builder loans

[bigdaddy590]

Do these loans still exist? Trying to build a barndo for the wife and I. While doing research, most of the banks I've looked at don't offer this loan or require some type of GC for a construction loan.

Sent from my SM-G892A using Tapatalk

[deerplanter]

Been s long time ago but when i did it i had to own the propriety and i got my dad to sign as gc. I subbed most of the work and did electric and trim work myself. I'm thinking of building a barndo myself soon but i will be paying as i go.

[8mpg]

Check out any local owner-builder service. They are usually pretty nice people and have contacts at banks. You probably will need someone to act as your builder. This could just be someone family member you put down as the "builder"

Some services I know of are Ubuildit, Built Green Custom Homes, Owner Builder Network

[kingranch]

i did a construction loan 2yrs ago it usually requires a good bit of skin in the game- I had to put down 20% cash in order to secure the loan and get things moving. Dont think you will be able to go with the fha 3% standard, It may be possible but lenders that deal in construction loans typically arrange it in a 12 month all interest note that will need to be converted or auto converted upon completion to a permanent loan

built green homes brand will most likely work in your case

[Antlers86]

Contact Cliff Bomer or Ethan Jackson with Citizens National Bank in Athens.

[solocam_aggie]

When I build mine last year I was able to name my father as the GC.

[deerplanter]

Contact Cliff Bomer or Ethan Jackson with Citizens National Bank in Athens.

When I got mine it was from Citizens National Bank in Henderson but my mother worked there so I had an insider.
Like others say you have to get a construction loan first with anyone signed as a GC and have collateral like the land being built on. You only pay interest on the money drawn out so make the draws only when needed. I had to get a detail drawing of what I was building including detailed cost list of material and labor. After completion then you can get a standard mortgage.

[captainsling]

You pretty much have to have someone act as your GC. You can go the consultant route and name them as GC. You will have to get a construction loan and put probably 10-20% down. The biggest problem is getting an appraisal for your barndo. There are usually not a lot of comps for the appraiser to go off of. And you will need an appraisal based off of your drawings and finishes.

[bigdaddy590]

You pretty much have to have someone act as your GC. You can go the consultant route and name them as GC. You will have to get a construction loan and put probably 10-20% down. The biggest problem is getting an appraisal for your barndo. There are usually not a lot of comps for the appraiser to go off of. And you will need an appraisal based off of your drawings and finishes.

Thank for the info guys. We will have about 13% cash equity/down payment and the 6 acres it will sit on is paid for.

I have a good friend that is a construction super that will be helping me oversee the project. He has agreed to be our GC.

Sent from my SM-G892A using Tapatalk