We do not impose size restrictions; however, appraisal requirements necessitate comparable sales in the area. For example, a 2,500 sq. ft., 3-bedroom, 2-bath home on 5 acres must be compared to similar properties sold in the past year within the same area.

No, we do not offer standalone lot/land loans. You may consider local banks for property-only purchases. We can assist if you want to combine the land purchase with your construction loan or build on land you already own.

Multi-family homes are considered on a case-by-case basis.

We do allow for barndominium builds on a case-by-case basis. When registering the builder we require a builder that has built previous barndominiums and has experience in this type of build.

Appraisals are required and based on provided plans, specifications, and comparable home sales in the area. Homes must align with similar properties in size and description for proper valuation.

No, buyers cannot act as their own builder. Additionally, family members cannot serve as the builder due to the "arm’s length" relationship requirement.

Seek recommendations from trusted sources, check references through organizations like the BBB or local Home Builders Associations, and ensure the builder is licensed, insured, and financially sound. Compatibility and trust are critical as you'll work closely together during the project.

We do not provide builder referrals. However, we can guide you to resources for finding a suitable builder.

Yes, land equity is considered as additional collateral, reducing your loan-to-value ratio. In some cases, it can eliminate the need for an out-of-pocket down payment.

No, equity in your current home cannot be applied toward the down payment for purchasing new property or constructing a new home.

No, down payment assistance is not available for One-Time Close Construction programs.

We do not have a minimum loan amount for this program. The maximum loan amount depends on factors like the borrower’s qualifications and the loan type. For FHA loans, the county loan limits are set by HUD. For VA loans, we can lend up to $1 million, with case-by-case exceptions up to $2 million.

Construction can only begin after the loan has closed.

Yes, One-Time Close (OTC) loans require more steps and documentation compared to standard home purchase loans. Delays often occur due to the search for land and a builder, home planning and design, or obtaining necessary documentation from your builder. However, we strive to complete your loan as quickly as possible.

It depends. Key factors include the type of your current home loan and your ability to qualify for both your current and new home payments.

Once you submit your application, our system will perform a hard credit pull. This is necessary to gather all the required information for proper qualification.

The minimum credit score is 620 for PRMI's One-Time Close Construction Programs. Although we can make case-by-case exceptions based on compensating factors.

No. You can get pre-qualified first, and we’ll help you set a budget for shopping for a builder and property. However, having a builder and plans ready may help expedite the process.

FHA loans allow for co-borrowers (both occupying and non-occupying). USDA loans require all borrowers to occupy the property as their primary residence. VA loans only allow co-borrowers who are spouses or other VA-eligible individuals also planning to occupy the property. There are cases where VA does allow for joint loans, but please discuss with Austin McKnight if this could apply for your scenario.

No. If there is a co-borrower on the loan, we must evaluate their credit, liabilities, income, and assets. Community Property states also require consideration of both spouses’ debts, regardless of loan involvement.