Seems all the talk is about the first time home buyer's credit being extended and expanded.
If we're really going to see a turn around in RE, we need to get constructi
on going.
It was tough to get green projects financed before because of the extra costs up front to build. However, from the first month an owner lived in the home, their total out of pocket to own the home was LESS than a conventionally built home. However, that didn't impact how a property was appraised or the loan ratios evaluated.
So now with the stupidity from Washington codified into the new rules and regs, I'm curious:
What does it take to get a new construction loan approved in todays market?
New homes, without the green technologies, are running about 10-20% more to build than a comperable existing home. Add in the green features that make it cheaper to live in and more sustainable, and the up-front costs are even higher.
What programs are available, what credit scores, ratios, details, etc. does it take to build a home today?
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