If you are building a home, then you are in need of construction financing.  Construction mortgage loans typically require interest-only payments while the home is being constructed and due upon completion.  Construction loans usually are meant to be short term and then are replaced by another more permanent loan once a home is built.

Construction mortgage loans are usually an adjustable rate loan at prime rate plus a short-term interest rate.  For many a construction-to-permanent construction loan works best, the construction loan is converted to a mortgage loan after the certificate of occupancy is issued.  Note: A home is not considered complete until the certificate of occupancy is issued.  Compare free multiple construction mortgage loan quotes with no obligation today with AllOptions.