Loan Guidelines
FINANCING AVAILABLE FOR
- Do-It-Yourself Owner-Builders (a builders license is not required)
- Small Builders, Spec Homes
- Log Homes, Modular Homes
- Partially-Started Home, Major Additions
- Investment Properties, Specialty Projects
GENERAL REQUIREMENTS
- Marflax Corporation can assist in paying off the balance on a land contract, existing mortgage or purchase agreement
- Property value must be verified by an acceptable appraisal. Appraisal may be subject to an appraisal review and/or a separate market analysis.
- Loan-to-cost (LTC)/LTV percentages are derived from credit scores and vary depending on current market trends.
FEE STRUCTURE
- The construction loan closing costs may be rolled into the construction loan amount
- Simple interest payments, charged only on the outstanding balance, are billed and paid monthly
- Interest rates are tied to the “Prime Rate” index. This index is published by Comerica Bank (interest rates are derived from credit scores, debt to income ratios + market trends)
- The preferred fee structure is 3% (which includes a 2% origination and 1% servicing fee), $600 underwriting/processing, $100 document preparation and 3rd party costs. Minimum fee of $2,500
- Loan Terms are available for 9 to 18 months or customized to meet clients build schedule
DRAW STRUCTURE
- Draws are disbursed as work is performed or materials are delivered
- Draws are disbursed the same day they are requested
- Draws are payable to supplier and/or sub contractor
- Deposits and reimbursements may be available upon approval from Marflax Corporation
- Unlimited Draw, Builder Draw and Custom Draw programs are available
- Waiver of lien is provided with each draw, for signature by the supplier and/or subcontractor
- Sworn Statements are required at designated points of construction
DOCUMENTATION REQUIREMENTS
- Pre Application
- Completed Uniform Residential Loan Application
- Copy of credit report
- Recorded deed to property, land contract or purchase agreement
- Owner's title insurance to property
- One set of blueprints with specifications
- Last two years income tax returns, including W2s and/or 1099
- Verification of employment (letter from employer, VOE, or paystub)
- Current paid tax receipt on property
- Last three months' bank statements, 401K, IRA, etc...
TWO-DAY CREDIT APPROVAL!!!!!!
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