New construction
Building your own home should feel exciting.
I’ll walk you through how a construction mortgage works on PEI and show you different lending options for your build.
Your build
Building has a few more moving parts.
Your land, your plans, your builder and your lender all need to line up. I’ll explain each piece in plain language and help you find a lending option that fits your build.
I love seeing people start a new chapter in a home built just for them, where they’ll make memories and build a happy life.
I work with people building across PEI and Nova Scotia.
Construction mortgages
The money usually comes in stages.
I don’t want surprises, and neither do you. So here’s how a construction mortgage usually works.
When you buy a home that’s already built, the lender releases the mortgage money all at once, on closing day. When you build your own home, the money is usually released in stages as the work gets done. Each time the lender releases money, it’s called a draw.
Before each draw, the lender usually has someone check that the work for that stage is done. How many draws there are, and what each stage covers, depend on the lender and on your build.
Because the money comes in stages, you may need to cover some costs yourself before a draw comes through. I’ll go over what you might need to have ready along the way, so you can plan for it.
Getting started
What I’ll ask about your build
Every build is a little different. These are the things I’ll ask about, so I can understand yours.
Your land
Do you already own it, or are you buying it as part of your build?
Your builder’s quotes
What your builder expects the home to cost.
Your build plans
The drawings and details of the home you’re planning.
Your new-home warranty
Whether your new home will have one, and who it’s through.
If you’re still early in your planning, that’s okay. Ask me anything, and I’ll explain what each piece is for, at your pace.
Private lending
When there are fees
Sometimes the right fit for a build is an alternative or private lender. These are lenders other than the banks and the regular mortgage lenders most people use, and they can sometimes finance a build that a regular lender won’t.
Those loans come with fees. If that’s the route that fits your build, I’ll always talk the fees through with you first, before you decide anything.
Whenever you’re ready to build.
Start your application, or ask me a question first. Either way, you’ll be working with me from the very first message.
Or call or text me at 902-213-8844.