One Great House: 3 Home Loan Options

Wondering how you can quickly and easily finance your new home through Charleston Homes? There are a few options you can choose from. By researching and learning about each option, you can determine which one is the best fit for your unique home building and home buying needs.

Conventional Financing

A conventional mortgage meets all of the funding criteria of Fannie Mae and Freddie Mac. About 35-50% of mortgages, depending on market conditions and consumer trends are conventional mortgages. These types of mortgages may be fixed-rate or adjustable-rate mortgages.

For a conventional mortgage, you will need between 5% and 20% for a down payment. The benefit of these types of loans, however, are the fact they fact they usually have a lower interest rate.

FHA Loans

The Federal Housing Authority (FHA) has loans available to those who qualify. These types of loans only require 3.5% down for a down payment. A majority of Charleston Homes buyers chose the FHA financing because of the flexibility it offers in down payments.

This type of loan is great if you don’t have a large amount to put down on a home or you don’t have stellar credit. The Federal Housing Authority was created in 1934, after the Great Depression, to stimulate the housing market. It did when it was first created and continues to do so to this day.

The Two Loan Approach

This type of home financing option takes out two separate loans. The first loan is a construction loan for the construction time period of the home. For the second part of the loan, you can use either an FHA loan or conventional financing for the end loan.

A construction loan can be used on any construction of your new home throughout the building process. Once the building process is complete, you can then finance the rest of your home through the other two loan options. At Charleston Homes, we give you a special incentive to choose this type of financing.

Construction loans are known as “story loans.” That means the lender must know the story behind the planned construction before giving an applicant the loan. These types of loans generally are variable rate loans. They are priced at a spread to the prime rate loan or some other similar short term interest rate. The buyer, the contractor, and the lender establish a draw schedule based on the stages of construction and, as a result, the interest is charged based on the amount of money distributed to the home buyer to date.

There is no reason you can’t apply for a loan today to have Charleston Homes start planning your next home from the ground up. With several loan options available, many people qualify for one or more types of mortgage loans. The question becomes what type of loan best fits your home buying needs. That and when and where you will move into your new Charleston Home!

The Charleston Homes Experience

It’s easy for us to tell you Charleston Homes will meet all of your home building needs, but we want to show you what our customers say. Since our goal is to leave you completely satisfied with your new home, we listen to what each and every customer has to say.

We recently caught up with Kevin and Renae, customers who were just about to close on their brand new Charleston Homes home to see what they thought about their experience.

What Did They Like About Their Charleston Homes Experience?

Kevin doesn’t hesitate when asked what he liked about the process from the first step of the way. “I think we really appreciated a lot of the selections you did have. You had them laid out right there in your model home.”

"I liked the different model homes adjacent to each other with the different styles. We looked at some of the different options and how they were established so we could get a different feel for the different alternatives that you had,” he said.

How Did They Pick Out the Family’s Lot?

“We got the website on the Port Ridge neighborhood. We just spent an afternoon with that website with what was available, the different lots. We narrowed down each one and scoped out our selections,” Kevin said.

"Based on what we wanted," Renae emphasized.

Construction: Right on Schedule

Charleston Homes is a process oriented company and maintains a relatively rigid schedule on the construction of the home. But we also allow for customization by the customer. This was one aspect that pleased both Kevin and Renae with their new Charleston Home.

“With this house we had a much better opportunity to choose from the list,” Kevin said, as he contrasted it with his previous experience with another home builder. “You did some research for us on certain components.” This helped Kevin and Renae make an informed decision when it came to their new home.

Kevin also expressed his confidence in Charleston Homes when he saw the construction schedule for his home. “To me, that spoke a lot about your company, that you understand your building process very well. It’s very well laid out and you pretty much met all the elements along the timeline.”

They were also pleased with building updates so they knew the status. “We knew just where we were at in that process,” Kevin stated.

We pride ourselves on being right on target with our construction schedule and both Kevin and Renae were pleased with the fact we did that with their home. “My grandmother predicted we would never get into our new house before the new year,” Renae laughs, as they are ready to close in mid-December, as promised.

The Walk Through Was Key

Before the process was complete, we allow our customers to walk through and make sure the new home meets their exact expectations.

“Any little thing that we saw, they were marking with tape and answering questions,” Renae smiled. “If I didn’t think something was right I would be nice about it. They were popping tape up saying, ‘We’re going to fix it, no problem.’”

When asked, on a scale of one to ten, how their experience with Charleston Homes was and Kim said without hesitation, “A ten! It was so easy... I didn’t have to do anything!”

These are the words of real life Charleston Homes customers regarding their experience with us. We did everything we could to make them happy and we succeeded. We would love to do the same for you and your home building experience.

Buying a Charleston Home While Selling Another Home

Today we have local Omaha realtor, Lisa Ritter joining us and answering some important questions we are frequently asked in our office. She offers great insights for anyone who wants to buy a new home but has an existing home to sell.

How Can I Buy the Home of My Dreams if I Have a Home to Sell?

Interview two to three realtors. Pick the one you feel most comfortable with. Be wary of agents who claim they know exactly what they can get from your home. The reality is a good realtor knows there are no guarantees. Instead, they can give you a general prediction based on trends and averages, but not a firm price.

Also, check out a potential realtor online. This is a great way to get a feel for how the realtor operates and how they feel about the homes they represent. How is the photography of the homes they have for sale? You will never get a second chance to make a powerful first impression so online presence is very important.

How Can I Plan Out the Sale of My Home in Advance So My Activities are Intentional and Not Afterthoughts?

Knowing exactly how much your home is worth very early in the selling process is very important. Get your home evaluated so you know how much you can expect. Also, as you are interviewing several real estate agents, ask them what they believe your home is worth. While one realtor might over value your home, three realtors will not. The opinion of those in the real estate field is very valuable.

If the Market is Ripe for Buying a New Home, Will My Home Sell Quickly?

When home prices are low and it’s a great time to buy a home, it’s not necessarily a great time to sell your home. This is the law of supply and demand. However, don’t be fearful about selling your home! With rates being so low, you should take advantage of the move-up opportunity. If new home prices are low there are probably many in your community who will also want to buy a new home. This can create an influx of homes for sale.

Of course, an environment that is great for buyers does not mean your home will not sell. Just make sure you find a great real estate agent, list the price as accurately as possible, and be patient during the process.

Want to learn more about how to get into a Charleston Home? Contact our office at 402-933-7224 or find us online at Charleston Homes.

If you would like to get in touch with realtor Lisa Ritter, contact her at (402) 612-2413 or find her online at her website.