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jumbo construction loan with new construction ADVICE needed!

4 years ago

My husband and I are trying to do a new jumbo construction loan. We are trying to do the house, pool, pool house and shop/shed —-all at the same time and all included in the initial jumbo construction loan.

The appraiser has come back with a reasonable appraisal value—- However, with the jumbo construction, the mortgage company say that we can only get 85% of that appraisal total. With only 85%— this will not give us enough to complete all of the projects. We would need about $125,000 in addition to the 85% to complete everything.

We are seeking advice on what we should do. We are first time builders and building our dream home on family land.

My questions are as follows:

1.) Should we only try and do the house and pool and add the shop/shed and pool house later? If so, will they have to reappraise for those separately?

2.) Should we try and go to a bank or credit union to get an additional loan for the $125,000 needed to complete all of the projects at one time?

3.) Should we ask for it to be reappraised based on the following reasons. The pics on the appraisal are NOT accurate pics of our land etc. Also, the appraiser didn’t use any houses that included pools and/or pool houses in his comparisons. I feel like the appraised value will increase based on these factors. Maybe not enough to total $125,000 but any increase is good at this point.

We need advice pretty quick because time is of essence. We have worked with an architect for 2 years on these plans and they were not cheap! My husband is also a VA— but due to the “jumbo” status of the house etc., we were advised that the VA loan was not the best route.

We don’t have the funds to come out of pocket $125,000. So, that’s really not an option for us at the moment.

Thanks in advance.

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