When applying for a residential construction loan, be prepared to provide the following:
- Construction timeline: What timeline do you have in mind for completing your home construction?
- Realistic budget: Your lender will want to know how much you expect everything to cost, so prepare a realistic budget outlining all costs associated with the project.
- Detailed plans: Along with your budget, have the overall plans for your construction project available so the lender is aware of what is being financed. You will likely be asked to provide plans or blueprints from your builder or architect.
- Traditional mortgage documents: You will also need to provide all the traditional documents you would submit if you were securing a typical home mortgage including tax returns, bank statements and pay stubs. With a construction loan, your builder may also be asked to provide some financial information.
