Does the borrower have to sell their home prior to construction?
No. There are programs available, which allow the borrower to begin construction prior to selling their primary residence. Since payments will be made using an interest reserve account designated at construction loan closing, the borrower doesn’t have to worry about making payments on two houses at once.
Related Questions
- Does the servicer have to receive the signed Home Affordable Modification Agreement from the borrower prior to the effective date of the modification?
- What preparations are necessary during the construction or remodeling of my home prior to the stucco being applied?
- What is the process to resell my homesite prior to construction of a home?
