NMLS# 3151

Wednesday, September 12, 2018

Realtors! Are inventory problems keeping your clients on the sidelines? RANLife Home Loans adds another solution! (2 min read)

Realtors! Are inventory problems keeping your clients on the sidelines? 

RANLife Home Loans adds another solution! (2 min read)

By James Coleman

Raise your hand if this has ever happened to you: you take your client to see 5-7 homes in a week. They fall head over heels for one, along with 15 other people. The home goes under contract to the highest and best, your client gets discouraged and the cycle is repeated.

Existing home shortages are a real problem. What is a good solution? Imagine taking your clients to a single appointment with a builder, getting them under contract with the home of their dreams and then collecting your paycheck after the initial loan closes in 30 days! 

Q. But I’ve closed on a new build construction loan and I was paid in 9-12 months after the builder accepted our offer and after the home was built. How can I get paid in 30 days?
A. That loan was likely a 2-step loan!

One-Time vs. 2-Step What’s The Difference?

The 2-Step requires cowboy boots and the One-Time is...... uh? Hip-hop dance?

One-Time Close: RANLife is the lender for both the construction loan AND the permanent mortgage. This saves time and money with one application and one set of closing costs. Once the home is complete, the loan is converted into permanent financing.

2-Step Loan: The construction loan and the permanent loan are closed separately. More work, more costs and 3-trimesters until you see your baby, Benny Franklin. Not to mention the client has to re-qualify for the permanent mortgage.

At RANLife Everybody Wins!

Builder: The construct to perm loan is made to the borrower which could significantly help the builder reserve their credit lines and cash for other opportunities. Risk of borrowers not performing due to rate increases is eliminated with our 270-day lock!

Realtor: You. Get. Paid. Once the loan closes in 30 days, you’re no longer involved! No more long builder meetings to go over options, customization and design.

Buyer:The borrower works with RANLife throughout the entire process. Qualifying for a construction-perm one-time close is easier than a stand-alone construction loan & their interest rate can be locked for 270 days!

Sounds Awesome! Do my borrowers qualify?

Minimum Requirements:
  • 680 FICO
  • 15% Down - YES! 15%, not 20-25!
  • Conventional Loan
  • Maximum Loan Amount:
    • SL County - $600,300
    • Tooele County - $600,300
    • Summit County - $679,650
    • Everywhere else - $453,100
Can’t get closing costs? Don’t worry! Our exclusive New Build Incentive Grant has your client covered for up to *$4,500 on a home in Salt Lake County!*Based off of a $600,300 loan amount. 
Call the Construction Loan Department Manager, James Coleman to discuss your project! 801.478.4552 or email jamesc@ranlife.com 

To learn more visit us at: https://www.ranlife.com/construction_loans.php
NMLS# 3151

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