June 1, 2017 – How does a military family find a VA construction mortgage? There are three methods to obtain construction financing: Builder financing (lots of hidden costs), Lender financing (few lenders offer construction mortgages), or simply pay cash (an option many veterans don’t have).
AAFMAA Mortgage Services (AMS), a wholly owned subsidiary of AAFMAA (serving veterans, military families, and active duty since 1879), provides construction financing (the Construction Advantage mortgage). Construction Advantage financing is subject to qualified borrowers and AMS offers extremely competitive rates and fees.
The biggest risk a veteran, or military family, makes is simply walking into a new home builder site and making a down payment for a new home. This down payment may be kept by the builder and the veteran may not receive funds back depending on circumstances. Military families need a fiduciary that is on the side of the veteran. Builders may take these non-refundable down payments and keep them. Make sure all risks are understood before pursuing builder financing. Often times the builder will negotiate upgrades for counter tops, appliances, etc. while the financing is often times overlooked. Military families will find this to be a costly method of building a new home.
Finding a lender to provide financing for that dream home is also hard to do. At AAFMAA Mortgage Services, the Construction Advantage mortgage product is transparent, extremely rate competitive, and provided by a trustworthy lender (AMS). AAFMAA Mortgage Services offers virtually all mortgage products to military families in an effort to find the best product that meets the veterans’ needs. While the VA Mortgage is a great option, it may be more expensive for certain military families. If the military family can pay cash to build, this option may require liquidation of assets and result in significant concentration of risk in one asset (the veteran’s home).
Call AAFMAA Mortgage Services to determine underwriting requirements and the process to build that dream home with a great company. 844-422-3622.
Military families can get the most value out of a home sale or purchase by working with unique tools like the AMS mortgage calculator, the AMS Relocation site, and experienced state-licensed mortgage professionals. Andy May further stated, “You owe it to yourself to explore rate and cost options. You are your own best advocate for getting the best mortgage product. We are here to serve your financing needs and aim to provide super low rates.”
Competitive, accurate, honest, transparent, and member-owned. Experience the difference at AAFMAA Mortgage Services. AAFMAA Mortgage Services LLC is licensed in the states of Connecticut, Florida, Maryland, North Carolina and Virginia. (NMLS: 1423968).
The team operates from 639 Executive Place, Suite 203, Fayetteville, North Carolina 28305. Call 844-422-3622 (844-4-AAFMAA), email mortgage(at)aafmaa.com or visit the website at http://www.aafmaa.com/mortgage to reach AAFMAA Mortgage Services. Equal Opportunity Lender. Lender NMLS: 1423968. 103418 Loan Officer number for Andy May.Tags: AAFMAA, AAFMAA Mortgage Services, construction financing, construction loan, military mortgage, State-licensed loan officers