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Save money, reduce stress while building your dream home

By Trina Cuccia

Building your dream home can be a very exciting option if the existing home inventory and the cookie-cutter tract homes you’ve seen are not what you and your family are looking for. But like many people, even if you’ve been a homeowner before, you probably have never had to hire a builder, an engineer or an architect or decide where every outlet and switch should be placed. The build process can be intimidating and scary — and this is before you’ve even decided how to pay for it all (assuming you didn’t win the lottery).

Luckily for you, today’s one-time close construction loans save you both money and time with a single closing and low fixed rate. This loan product, which also may be called an “all-in-one,” “single closing” or “one-time close” construction loan, has revolutionized the construction loan process and is the loan of choice for most construction loan borrowers. This type of loan allows a borrower to work with one lender and have one loan closing because the borrower closes on a single loan that funds the home construction and then converts to a permanent loan after the construction is completed.

The conversion usually is triggered by the issuance of a certificate of occupancy (or its equivalent) and your lender’s final inspection and approval. The terms and details of the permanent loan will be agreed upon in advance, and the final principal amount for the permanent loan will be based on the amount disbursed during the construction phase.

Building a home can be an exciting process the entire family can enjoy, but for most people, it’s not something they have done before — and that leads to stress and anxiety. Partnering with the right lender and real estate agent will remove a lot of the stress involved in the process and allow you to watch the custom home of your dreams become a reality.

Trina Cuccia is branch manager and loan officer (NMLS# 1198282) with GMFS Mortgage. Reach her at (228) 222-4095 or