50 Questions You Must Answer!

The following 50 questions are critical to the success of financing a Dream Home. Many of these questions are inter-related. Many of the correct answers vary depending on the Bank.

You must have all of these questions correctly answered before you apply to a lending institution or your loan will likely be denied, and you will not get a second chance!

We can help you analyze and prepare for all these and other questions helping you obtain approval the first time at the right bank for your project.

1. How much do you owe on your land?
2. How big of a home are you planning to build?
3. How much are your soft costs and what is included?
4. How much are your hard costs and what is included?
5. What is the future value of the home you are building?
6. Are you maximizing your property's value or are you under or over building for the area?
7. How much have you spent so far?
8. Do you have enough cash or equity into the project to qualify for a loan?
9. Do you have copies of paid receipts including cancelled checks for all items you have pre-paid?
10. Have you accounted for an interest reserve?
11. Have you accounted for all of the closing costs?
12. Are you including Landscaping and Hardscaping costs in your budget?
13. Do you plan to live in the home for a short or long term?
14. Have you speculated out each and every detail of the build down to the doorknobs and hinges?
15. What is your break ground date?
16. Have you completed a line item cost breakdown?
17. What is the foundation type? Are you on a sloped, hill or flat lot?
18. What type of home are you building (stick built, log or kit home, modular, panelized, etc.)?
19. What is the zoning of your property?
20. Are you planning to build the home yourself (owner-builder)?
21. Are you a licensed general contractor?
22. How big is your lot?
23. What type of utilities are you planning to install?
24. Have the utilities been brought to the property yet?
25. How is the title held on the property?
26. Do you know what you can build in your area (i.e. What will pass Design Review)?
27. Do you have a Home Owner's Association?
28. Are you in a flood zone?
29. What type of area is your lot (rural, urban or suburban)?
30. Do you know the permitting process for your area?
31. Have you already begun construction?
32. Is your lot bare land or are there any structures currently on the property?
33. Have you ever listed the property for sale?
34. Do you have the correct insurance policies?
35. Is your total cost to build more, less or equal to the future value of the home you are building?
36. What is the value of your current residence versus the new one you are building?
37. Are sales comparables of similar size and valued homes available for your neighborhood?
38. Is the type of home you are building typical for the area?
39. Is your construction contract based on a fixed price or time and materials?
40. Are your architectural plans preliminary or do you have a set of working drawings?
41. Have you put out bids for the construction?
42. Is your income enough to qualify for the loan amount you need?
43. Are your liquid assets sufficient to qualify?
44. Are you building on more than one lot?
45. How is your credit?
46. Do you own any other Real Estate?
47. Will you occupy the home you are building?
48. Do you plan to subdivide the property?
49. Are you self-employed? If so, for how long?
50. Does your builder meet the lender's criteria?