Dear Mortgage Broker/Originator,
At Owner Builder Loan Services, we are the lender, not a middleman.
The only loan we finance is a residential construction loan for
self-built homes. We do not require the borrower to hire a contractor
nor must they hire a project supervisor. How are we able to do this?
We are privately funded and this allows us to be more flexible,
and less restrictive than most conventional construction lenders.
What makes this loan so easy for
you to originate?
All you have to do is fax to us:
The applicant’s
Residential Lending Form # 1003,
our Broker’s
Construction Loan Submission Form, and
if your office
is not yet registered with us, the Broker’s
Registration Form.
We will then take over the processing and orchestrate the closing.
It’s that simple.
Your origination
fee is paid when construction loan documents are signed. The origination
fee is determined by the amount you specify on the Broker’s
Construction Loan Submission Form. There is no yield spread because
the construction loan is short term.
When
construction has finished, we need you to refinance the construction
loan because we do not provide permanent mortgages.
How much is the origination fee?
We recommend that you charge 2%, however you are
free to charge as little or as much as applicable State and Federal
laws permit. Don’t forget, we need you to refinance this loan
when construction is done.
What is the Maximum Loan Amount?
$415,000
What is the length of the loan?
18 Months and there is no pre-payment fee.
What are the interest rates?
The interest rate is always adjustable with rates
beginning as low as the current Prime Rate. The borrower’s
interest rate is determined by their credit score. Please refer
to the Interest
Rate Chart for more details.
What does it take to qualify?
Our minimum acceptable credit score is 650. If the borrower has
a lower score, they can still qualify with an acceptable co-signer
who has a minimum credit score of 675.
The borrower must have verified income.
The maximum DTI is 45%
The maximum loan amount is 65% of the appraised value or, 65% of
the total cost of construction, whichever is lower.
Other
conditions that may apply will be stated in the applicant’s
Conditional Loan Approval Letter.
Do you have a loan scenario?
Please call us at 800.543.5600 Extension 114
or email us at loan@ownerbuilderloan.com
How can I describe this loan to my
customer?
Print your customized flyer from this
page. |
