Construction to Permanent

Build Your Dream Home with One Loan and One Closing.

A construction-to-permanent loan simplifies the traditional construction loan by combining the construction financing and mortgage financing into one loan.

One-time close

Single family dwelling
(including manufactured and modular)

Fixed rate

Affordable, interest only payments during construction

FHA Program
Up to 96.5% financing Construction-to-Perm

VA Program
Up to 100% financing Construction-to-Perm

Conventional Program
Up to 95% financing Construction-to-Perm
(First time home buyers up to 97% financing)

When I first looked into building my new home in 2016, I was referred to First Federal Bank to finance the Construction Loan. There are a lot of banks and credit unions that do these types of loans, but not as many that will do one in coordination with VA. My loan application was accepted by Yvette Weghorst and she worked through the whole process and made it easy. She was on top of everything and I couldn’t have asked for a better experience. I’m now refinancing to lower my interest rate and I came back to Yvette because of the smooth processing experience I had on my original loan.

-Steven Davis, Retired United States Navy Lieutenant Commander
In June of 2020, we closed on a new home with First Federal Bank. Yvette Weghorst was our Mortgage Originator. We feel she went above, and beyond the realm her job duties where we were concerned! We can honestly say, she gave 110% of her effort to ensure our closing was completed and on time.

Building a new home and securing financing during normal times is scary and overwhelming. However, doing so during the height of the COVID-19 pandemic is another whole level of overwhelming. I'm not so sure we would have been successful in purchasing our home, had we not had Yvette on our team! In these days and times, encountering someone with her level of work ethic and professionalism is not easy to find.

-Roger and Jessie Sumner

Designing your dream home

Tips to consider when building your home.

The Right Builder

Finding a builder who meets all your criteria can be a challenge. To ensure they are up to your standards, ask for referrals and tours of current homes they are building. Be sure to look / ask for the following:

  • Quality of Workmanship
  • Quality of Materials
  • Inquire About Builder Warranty
  • Research Their Reputation With Local Organizations (ie Home Builders Association or Better Business Bureau)

Set a Budget

Set up a budget for your new construction home just as you did when you shopped for an existing home. Start with these tips:

  • Find out from your First Federal Loan Officer how much you can afford.
  • Begin working within your budget to design your dream home with your designer and builder.
  • If you already have a plan in mind, be mindful of your budget and be willing to fore go the expensive features that may be outside your budget.
  • Avoid making last minute upgrades or changes to the floor plan to ensure you don’t spend anymore than you have budgeted.

Get the Right Type of Loan

Construction loans are different from traditional mortgages because they provide funding not only for the purchase of the home but also for the construction of the home.

A Construction-To-Permanent Loan simplifies this process by combining the construction and home purchase into one. That means one set of fees, one closing and one time to qualify for the loan.

There are other options available. Contact your First Federal Loan Officer for more information.