Church Construction Loan
Church Construction Loan to Permanent Loan Program
Our network lender programs combine
the church construction loan and permanent financing of your project. You
qualify for the loan once, lock in the permanent rate, sign one
set of loan documents and have up to 12 months to complete the
During the construction period, interest is charged only on the
funds that have been disbursed. When the project is completed,
the permanent loan period begins.
This is a "One Time Close" church construction loan program
to finance the construction of a new sanctuary, educational
wing, gymnasium, etc. providing both the construction financing
and permanent loan all in one closing. This means that you sign
only one set of loan documents and do not have to worry about
re-qualifying, re-appraisals, additional closing costs or
signing additional loan documents.
Unlike a purchase transaction of an existing church, a
Construction To Permanent Loan involves determining the value of
something that is not yet constructed! To assist the appraiser
and the lender in determining the value of the structure after
it is built, information must provided as to:
is going to be built or constructed?
materials are going to be used?
much will the material cost?
much is the actual work going to cost?
much did the land cost, what is it worth today?
much will be spent on plans and permits?
will have another very important item to be concerned with,
which is your organizations choice of the general contractor who
will be awarded the contract and the actual text of the
From the general contractor, the lender will need a resume and a
builder's application to be completed along with a credit check.
This is for your protection as well as the capital provider's,
and ensures that he/she is experienced, has a proven tract
record, and will be able to perform under the terms of the
In addition to the above, our network lenders will of course
need the standard income and credit documentation that is
required in any real estate transaction.