San Diego, CA -- (SBWIRE) -- 01/21/2013 -- In the first quarter of 2008, construction loans hit a peak of over $630 billion, but fell considerably during the housing crisis. During the second quarter of 2012, bank balance sheets showed that the balance of this type of loan had fallen by approximately two-thirds.
"If you wish to obtain a construction loan, now may be the time to do so," according to Rick Gomez of California Construction Loans. "When obtaining a loan of this type, there are certain inside secrets to be aware of. Consumers need to know the answer to which should come first: construction loan or the land purchase? Another thing consumers need to be aware of is the fact that all banks can access the same interest rates. How much one pays at closing is dependent on how much the bank and loan officer profit. Having information such as this puts each home builder in a better position when applying for a type of this loan. Banks are still hesitant to makes loans of this type and many banks have stopped providing constructions loans or have ceased business completely. A loan specialist can ensure a consumer gets the financing he or she needs."
Furthermore, when a consumer goes to search for the best construction loan for his or her needs, a construction loan specialist is of great help. He or she is not only objective, but knows the advantages and disadvantages of working with each lender. "The devil is in the details," Mr. Gomez explains. "In the past, the rate was of major concern. Now the loan to value is the biggest factor when obtaining a loan of this type. The home builder also needs to know how much cash will be required to close once an appraisal has been done."
"When choosing a construction loan specialist, home builders need one that has developed strong relationships with a variety of lenders. The specialist is then able to pass on the benefits of these relationships. Whether a construction only loan, an owner builder loan or a construction to perm loan is needed, the right construction loan specialist is of great assistance," Mr. Gomez goes on to say.
With many features to a construction loan, from the purpose of the loan to the various construction loan terms offered, home builders have a great deal to process. "California Construction Loan explains every step of the process and helps each client determine what best fits their particular needs. Why try to tackle this alone? The representatives of California Construction Loans are here to help," Mr. Gomez states.
About California Construction Loans:
California Construction Loans is a subsidiary of Nationwide Construction Loans Inc. and currently offers the best loan to values and lowest interest rates in the industry. Nationwide Construction Loans is an industry leader in construction loans for those wishing to build a new house in the United States. A construction loan may be obtained no matter where a client lives in the country as the firm works with the best banks nationwide.