Construction financing is probably our teams favourite lending solution and mortgage products to place and one our team handles very well! Although we are based out of Oakville and do a lot of construction financing and construction mortgages in Oakville we do a lot of construction financing and construction mortgage lending across the GTA and Muskoka.
The reason construction financing and construction mortgages are our teams favourite mortgage solutions is that we are part of our clients lives for a longer period of time. From initial consultation to perhaps land or property acquisition, site plan approval, permit, actual construction and sale or take out mortgage we may be apart of the client and/or builders life over the coming 12-18 months. In addition, if this is a spec build that goes well, there is high probability that when one build is done we move onto another. Most our construction clients become life long friends and we become an intricate part of the team.
What sets us apart is our knowledge of the markets we lend in, the different access points to capital and having experience building ourselves. It seems king of crazy how many people are offering construction financing but have never been through the process. I get they understand lending but if they don't get building, its a huge disadvantage to the client. Weather our client is building a principal residence or a spec build we have access to banks, credit unions, trust companies and for most with spec builds private capital.
Private capital for construction mortgages is one of the times we really like working with private money. The terms are more generous and the lender is much more sophisticated and often involved in the building community itself. It creates a team atmosphere in which the lender and the client are both focused on profitability and doing a deal that makes sense. From superior loan to values on acquisition financing be it tear down or land to unlimited draws with quick turn around times during construction, its a far superior product that what most traditional lenders offer. We have interest reserve options so there are no payments during the build, we have access to longer terms to reduce fees that can occur at maturation, different rate and set up fee options while capitalizing any set up costs so they are not out of pocked and ways to help with soft costs if there is enough value in the future value of the completed project.
At any given time we have 5-10 homes under construction and are consulting on another 1 or 2. For information on how we can help with your next build, email
scott@thewestlaketeam.com or use one of our contact forms or call the office.
We look forward to helping!