90% of our customers finance their home purchases. Though we don’t currently offer in-house financing, we do all we can to keep our prices low enough to minimize the amount of money our customers have to borrow in order to buy. Over the last few years, it has become increasingly easier for our customers to secure their financing through their local bank or credit union. The Expanded Planning Package will include all of the descriptive and instructional materials your loan officer will need to feel comfortable with the process.
Having said that, customers sometimes ask us about the best method of acquiring financing for their new home kit, or even to finish out the interior once the kit is complete. Because the circumstances of each home kit purchase are unique, you will obviously need to contact lenders in your local area to see what options are available to you. If you really want to secure a deal on one of our kits but don’t quite have all the funds necessary, it often comes down to how creative your borrowing plan is. Anecdotally, our customers have used conventional as well as non-conventional means to acquire their loans, a few of which are shown below:
- Put up a piece of property as collateral for a loan to purchase the kit. After assembling the complete steel kit, a restructured loan which includes the land as well as the erected home should more than finance the interior build-out.
- If possible, purchase the kit with available funds and erect the kit. With your home’s exterior erected, it should be easier to acquire a loan to be used to finish the interior.
- Look into getting an unsecured loan for the kit. This could be a signature loan from your local lender or even a personal loan from a friend or family member.
Remember to check with local banks, credit unions, and other financial institutions to get more information about applying for construction or completion loans.
These borrowing techniques are not meant to encourage you to take one path or another, but rather to inspire you to be creative when other financing options become unavailble.
