Provides a quick look at what you would qualify for without issuing a commitment letter. Income and asset information is provided, it is not verified at this point. A single bureau credit report is pulled at this time to get a general idea of overall credit worthiness. (A three bureau merged report will be pulled at application). Borrower's can be qualified for a specific loan amount determined by them or they can be given a maximum loan amount that they qualify for.

Step2: Application

When you know or have an idea of the home you want to build, starting the application process early will eliminate problems later. What is needed for an application: 1 month current paystubs, 2 years W-2's, bank statements from the last 3 months, sales agreement or deed for the land, an application fee, and any record of any deposits paid to either the builder or manufacturer. No construction documents necessary at this time.

Step 3: Appraisal

An appraisal determines the fair market value of the home based on the sale of similar homes (comparables) in the area. A complete set of plans for the home will be needed. Plans should include all elevations. A complete set of specifications for the home describing all the components of the home will be required. A complete and detailed contract from the manufacturer of your home will be required. The contract must include and addendums, price changes, applicable taxes, and freight charges. The contract must be signed by a Golden Eagle Log Homes representative and all borrowers on the mortgage. If a general contractor is doing all phases of work on the house, a contract signed by the GC and all borrowers must be provided. The contract must be for labor and materials. Owner Builders will need signed estimates for labor and materials on letterhead from all sub-contractors.

Step 4: Draw Schedule

The draw schedule is prepared to organize when the mortgage company will be paying out construction money as work is progressing on the home. A schedule is prepared by the Construction Department once a hard copy of the appraisal is received by the lender. A Final contract will be required to insure that all changes to the house have been accounted for and any changes in price have been received by the lender. Once the draw schedule is completed, it should be reviewed by the builder and borrowers to insure accuracy.

Step 5: Initial Settlement

The execution of mortgage documents is initiated to allow the Construction phase of the mortgage to start. The borrower will supply the name of the attorney or settlement company they wish to have facilitate their settlement (or closing). The lender will prepare the mortgage documents and send them to the attorney. The attorney will order title insurance and collect tax information which will be relayed to the lender.