Threat of foreclosure: That very important disadvantage regarding a house guarantee loan is that it puts your residence at stake

3. Lower Down Payment Requirements: Construction loans often have lower down payment requirements compared to traditional mortgages or home equity loans. While conventional mortgages typically require a down payment of 20% or more, some construction loans may only require 10% or even less. This all the way down first resource can be advantageous for homeowners who may not have substantial savings or equity in their current property. Continue reading →