Know Where to Go for Construction Loans

When looking for a construction loan broker in the Greater Toronto Area, one should know that not all brokerage firms are considered equal, especially when considering the type of loan that they are after. Construction loans are a very specialized area of the mortgage market, and at OE Mortgage, they have specialists in the field who know exactly what it takes to find the best possible deal on a construction loan. OE stands for Ovsichtcher, Egor the founder of OE Mortgage (http://www.oemortgage.ca/construction-loan/), with a Mortgage Broker License (Lic#12015) licensed to operate in Ontario under Silver Line Mortgage Group. He is a successful entrepreneur and real estate investor with a strong marketing background and a good track record. They cater to any clients’ needs, and do everything possible to ensure that they get the funding for everything from a custom home to a major land development and construction project, from renovation to demolition and rebuilding, at terms that they can manage.

Types of Construction Loans OE Mortgage offers

At OE Mortgage, you can choose and find the perfect loan product for your needs. So, before embarking on building your first new home or tackling that first major renovation project, you can ask everything in your mind that you need to know and special considerations involved in construction loans.

To begin, potential home builders should know that there are typically two major kinds of construction loans:

1. Progress Draw Mortgage: With this kind of loan, the money required for the build is disbursed to the homeowner as the construction progresses. In most Progress Draw Mortgages, there are three phases of completion – the 35-40 percent phase, the 65-70 percent phase, and the 100 percent completed phase. At the end of each stage, verification of completion is provided by an appraiser who completes a progress report.

2. Completion Mortgage: This kind of loan usually only applies to homes that have been newly constructed and are being purchased directly from the builder. This means that you will only need to make a payment when the home is fully finished; although, you will still likely be required to make a down payment, which can be paid in instalments.

There are three types of construction loan at OE Mortgage that you can choose at very reasonable price according to your preference:

1. 5 year fixed at 2.29%

2. 3 year fixed 2.09%

3. 5 year variable (ARM) at 2.35%

No matter what kind of construction loan you are looking for, the construction loan specialists at OE Mortgage can provide you with a sound, professional and objective advice that will help you get your build started on the right foot with the right mortgage broker at Richmond Hill and Greater Toronto Area residents.