Funding

Bayshore Building & Design offers many types of funding and financial aid services. Please don’t hesitate to call us with questions regarding your needs.

HELOC

A Home Equity Line of Credit (HELOC) is a revolving line of credit secured by your home, allowing you to use the funds for large expenses or to consolidate higher-interest rate debt from other loans. HELOCs typically offer lower interest rates compared to other loan types, and the interest paid may be tax deductible. It is advisable to consult with your tax advisor regarding the deductibility of interest.

When you have a HELOC, you are borrowing against the equity in your home, with the house serving as collateral for the credit line. As you repay the outstanding balance, the available credit amount is replenished, similar to how a credit card works. This flexibility allows you to borrow against the line of credit as needed, up to the established credit limit, during the draw period (usually 10 years). Following the draw period, the repayment period (typically 20 years) commences.

Modern Kitchen Interior with L shape counter top with barstools.

FHA Construction Loan

An FHA construction loan is a specialized type of FHA loan designed to cover the expenses associated with building a home, which includes the purchase of land or lot, building materials, and labor costs. There are two main types of FHA construction loans: the FHA construction-to-permanent loan and the FHA 203(k) loan. These loans can be seamlessly transitioned into a permanent FHA mortgage. If you prefer constructing a home rather than purchasing one outright, an FHA construction loan can provide financial support for your project.

Similar to a standard FHA loan, this financing option is backed by the Federal Housing Administration (FHA) and is offered by lenders approved by the FHA. To qualify for an FHA construction loan, borrowers typically need a minimum down payment of 3.5 percent and a credit score of at least 580.

Unlike conventional construction loans, FHA construction loans are insured by the FHA, offering added security for lenders. The loan duration is typically one year, during which the lender disburses payments directly to the contractor as the project progresses. An inspector appointed by the lender evaluates the construction stages to ensure compliance before releasing further funds. Upon completion of the construction, the loan can be converted into a traditional mortgage or refinanced to settle the outstanding balance.

Other Funding

For individuals who are service members, veterans, or have a lower income and are interested in constructing a home in a qualifying rural area, VA or USDA loans may be suitable options. These loans do not necessitate a down payment or mortgage insurance and may have flexible credit requirements. However, a one-time funding fee for VA loans and guarantee fees for USDA loans are typically required.

Alternatively, instead of opting for a 203(k) loan, you could explore a conventional HomeStyle renovation loan. This loan type offers financing up to 75% of the home’s value after renovation.

Our company provides an opportunity to finance your project with low monthly payments. We encourage you to include messaging on your website and invoices that highlights the availability of affordable monthly payment options. With access to over 27 lenders and no dealer fees, we strive to offer a seamless financing experience for our customers.

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Quality Craftsmanship

We provide the highest quality craftsmanship and work with top materials to ensure that your project is built with care and professionalism and up to the current building codes.

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Experience & Know How

We have built our reputation as a quality general contractor with years of industry experience. Our team is passionate about construction. Let us exceed your expectations!

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Satisfaction Guaranteed

You can count on us for creative design ideas, highly personalized service and attention to detail in all aspects of your project. We treat every client on all projects like family.