Step 2: Qualify for Financing
          (Continued)
           Part 3


What You Will You Need

1. Start-up Construction Budget (use the "Pre-construction Budget Worksheet" found in our Library).
     a. A start-up construction budget is a cash budget needed
         prior to obtaining your construction financing.
     b. Many builders suggest anywhere from $5,000 to $25,000,
         depending on the size and scope of the construction.
2. Up-front Expense
This up-front expense is considered part of the overall project cost and is often part of the down payment or, in some cases, can be "reimbursed" as part of the construction loan.

3. Down Payment
A down payment may be needed depending on the size of the loan, your credit and if you currently own the lot or not. You don’t have to own thelot to receive a 100% loan. The down payment, if required may be cash, equitable securities, or the equity in an existing home or land purchase.

4. If you are using your current home's equity, make sure you obtain a true market value of your home and the anticipated time to sell your home.

5. Planned Budget
Know your limits. It can become tempting to add additional items to the home that will place the entire project out of budget. Some buyers have a budget cushion for upgrades and other changes

6. Documentation
Your submission of a loan application may require documentation of income and employment similar to a home purchase mortgage application.

Tip:
1. Make sure you apply for a Construction Loan with a lender specifically competent in Modular Home Construction Lending.

Step 1 - Find land Step 2 - Qualify for Financing Step 3 - Select Floor Plan Step 4 - Order Home Step 5 - Obtrain Permits Step 6 - Prepare Site Step 7 - Recieve Home Step 8 - Finish-Out Home Step 9 - Finalize Details Step 10 - Move in!