In the housing market the appraised value of a home is the “line in the sand.”  If you are paying less for your home than the appraised value of the home, then you already have equity in your home.  If the appraised value of your home is lower than what you are paying for it, you have a problem.  Lending institutions will not loan more than the appraised value of a home. Recently the appraisal process has under gone several changes due to...

Question:  What happens if during the building of your new home, there is a fire?  You have closed on your construction loan and the bank has made several dispersement payments for the construction costs.  You now have a mortgage but no home, who covers the damages? Answer:  Your Builder’s Risk Insurance Policy. Most banks require that a Builder’s Risk policy be in place at the initial closing of a construction loan.  They want to...

With record low interest rates, tax credits, rock bottom prices on land and construction fees…. All you have to do is find an out of work builder to give you a lowball price and you’ll be in your new home in no time, right?  Better think again. You know the time has come to make a change.  You know it’s a smart financial move to build your new home.  Yet, bad things happen, especially to the uninformed.  That’s why...