Real Estate Home Mortgages/new home mortage ?
I am current owner of home with 7 acres. Home is older home and too small as we want to expand our family. Only has 2 bedrooms and about 900 square feet with 1 bath.
Would like to tear down, let someone move the old home off of the property and build.
Currently have an equity line with about 15,000. Auto loan with 10k to pay. Wife has some student loans with about 45k left.
Appraisal of land is in the 200,000 range.
We have about 50,000 in 401k's and probably 15,000 in cash.
Would like to know if we could get mortgage to build a new home on our property and consolidate all these debts into one loan with home. Would like to build a home about $225,000 value.
Her income is about 35,000 and mine about 45,000.
If we combined loan, we would owe about $300,000 loan and from what I've seen, interest rates are at all time low and building costs are still very low.....don't want this to pass us by....we we had wanted to pay off all debt before building but sort of feel like it may cost us much more to wait too much longer.....
Neither of us has ever purchased home but do have equity line so didn't know if this would not still qualify us for first time home buyers qualifications. We inherited land and home we have now. Please let me know your advice and what we may or may not should do with assests and debts in order to proceed with building new home.
Thanks so much.
Normally construction loans of this type are done by local banks (within a 50 mile radius).
Suggest you contact one and work with them.
All the information you presented is positive.
If it were a straight purchase or refinance, I can assist in all 50 states.
Thanks, (and all the best)
About Real Estate Home Mortgages
This topic answers questions related to purchasing a home, owning a home, home ownership, mortgage education, mortgage applications, and mortgage needs whether buying a first home or refinancing a current loan. Issues related to home ownership, home equity, mortgage education, refinacing options, home improvment finacing, first time home loans, home equity loans, vactation home loans, and mortgages for investment homes are dealt with here also. Though not the primary focus of this topic, Home Equity Lines of Credits (HELOCS), reverse mortgages, and calculating home equity may also be asked. If you do not see your home mortgae, home finacing, or home equity question answered in this area then please ask a question here