Home Construction Loans

If you've been busy cutting out pictures of houses from magazines to plan your ideal home, a construction loan from North Country Savings Bank could help your dream become a reality. All of our loans decisions are based on factors beyond your credit score, including your employment history and utility bill payments.

Building a New Home

As the plans for building your new home become concrete you'll need to determine how to finance the project. That's where we can help. Our team of Loan Originators can help walk you through the lending process from beginning to end to ensure your project stays on budget and includes all of the essentials.

Here's how a construction loan works: North Country Savings Bank can help you finance 80% of the project's total cost (including the property and improvements) OR the resale market value of the completed project (whichever is lower). You have 12 months to complete the project. It is important to have a timeline established before construction begins because we disperse money periodically based on work completed. For those 12 months you only pay interest on the money dispersed. Like our mortgage loans, all of our construction loans have one-time closing costs, so you won't pay another fee when the loan rolls over to permanent financing once your home is finished.

Unlike most banks, we do not require a contactor and welcome Do-It-Yourself builders. However, it is important that Do-It-Yourself builders ensure their cost breakdowns are as accurate as possible and list all of the materials needed and associated costs. Simple items, like screws and paint, can be overlooked on the cost-breakdown, causing chaos down the road. You are unable to add to the construction loan once it has closed. Before you run out to the nearest home improvement store, consider the following:

  • Are you going to hire a contractor or do you plan to complete the project on your own?
  • How much will the project cost and how long will it take to complete?
  • Do you have money saved that can be used if the project goes over budget?

Make Improvements to your Home

If your new home needs renovation, a Purchase Plus Improvement loan could be your solution. Any renovations that will improve the market value of your home are eligible for financing through this program.

If you are unsure whether you would qualify for a Purchase Plus Improvement loan, stop by your nearest North Country Savings Bank location to discuss your unique financial situation with a Loan Originator.