How to Prepare for Your Texas One-Time Close Loan Application

Getting Ready for Your Loan Application

Applying for a Texas One-Time Close Loan requires a bit more preparation than a standard mortgage because the lender is evaluating both your financial profile and the details of the home being built. Here is what you need to gather.

1. Standard Financial Documents

Just like any mortgage, you'll need to provide proof of income, assets, and creditworthiness. This includes W-2s, tax returns, bank statements, and a review of your credit history.

2. The Builder Contract

You must have a fully executed contract with your builder. This document outlines the total cost to build, the timeline, and the responsibilities of both parties.

3. Plans and Specifications

The appraiser needs to know exactly what is being built to determine the future value of the home. You'll need to provide complete architectural plans and a detailed specification sheet (the "specs") that lists the materials, finishes, and features of the home.

4. Land Information

If you already own the lot, provide the settlement statement from when you purchased it. If you are buying the land simultaneously with the construction loan, provide the purchase contract for the lot.

Having these documents organized and ready will ensure a smooth and efficient loan approval process.