Financing

Red Door Advantage

Understanding On Your Lot Construction Financing for Your DREAM Home

Building your Dream home on your own land is an exciting prospect, one that promises to turn your vision of the perfect living space into reality. However, amidst the excitement of envisioning your dream home, the intricacies of construction financing can often appear daunting. 

But fear not, for we’re here to shed light on this topic and demystify the process of construction financing for on-your-lot Dream Homes. Through interviews and expert insights, we’ll explore the nuances of construction financing, providing you with the knowledge and understanding needed to embark on your custom home building journey with confidence.

Construction & Home Loan Financing

With our wide range of trusted lending experts, who are experienced in construction lending and well-versed in the Red Door Homes process, we’ll connect you with the right financial experts to make your dream a reality. Our experts will be happy to answer all your financing questions and help you save money, time, and energy in the process. So, let’s make your dream home a reality together!

Embarking on the journey towards your DREAM Home can seem like no easy feat. It can appear to be overwhelming, especially when it comes to financing. At Red Door Homes, we understand the challenges that come with getting a custom home loan, which is why we’re here to guide you through every step of the way.

Some financing options include:

  • Low to no down payment
  • Use Land as a Downpayment
  • Finance purchased property into your Loan
  • Conventional financing with as little as 3% down
  • No PMI
  • FHA loans 
  • Rural Housing (USDA) programs

Price Your Home.

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Ask About Home Loan Financing Today 


Contact our trusted lender One Trust, Eric Bowers at  910-240-9780 or click here to learn more about your home loan financing options.

How Does it Work?

  • Borrower applies for pre-qualification for a construction-to-permanent loan
  • Borrower identifies desired homesite and, if applicable, writes a sales contract to purchase the land
  • Borrower writes a purchase agreement with Red Door Homes for their new Dream home (this can be done prior to identifying a homesite)
  • A full loan application is made with a complete set of required documentation
  • An appraisal is ordered
  • Loan approval is issued and the construction loan closing is scheduled
  • Borrower closes on the construction loan and the land if applicable
  • Construction begins and funds on the construction loan are disbursed per the pre-determined draw schedule
  • Construction is completed and the permanent loan refinances theconstruction loan
  • Borrower moves in!

The Do's and Don'ts During Construction

  • DO save as much money as possible
  • DO try to earn as much money as possible
  • DO keep your credit history impeccable as it will affect your permanent loan interest rate
  • DO pay your rent on time and keep all your credit accounts current
  • DO pay for PERSONAL CHOICES over and above your loan amount out of pocket, as there is no guarantee we can increase your permanant loan amount.
  • DON'T quit your job while your home is being built unless your new job pays more money
  • DON'T buy new furniture, cars or appliances
  • DON'T move money from one account to another or consolidate or open new credit accounts
  • DON'T retire or pay off other loans or credit accounts without consulting your lender
  • DON'T get behind on your payments as this could affect your permanent loan

Hear from our Homeowners

Red Door (Page, Tom, Patrick, and the rest of the crew) were nothing less than wonderful through our whole experience. We lost our old house on 1/25/13 (fire) and were simply dreading the process of demolition and re-building. Red Door took our worries and fears upon themselves personally, and turned a dreaded situation into the blessing of having a new custom-built home. They handled EVERYTHING...from the very first bit of demolition to the day we did the walk-through...and gave us a beautiful, stick-built home at a square-foot price(and with a 10 year structural warranty) that nobody (including the modular manufacturers) could touch. Good product, great people! Red Door (Page, Tom, Patrick, and the rest of the crew) were nothing less than wonderful through our whole experience. We lost our old house on 1/25/13 (fire) and were simply dreading the process of demolition and re-building. Red Door took our worries and fears upon themselves personally, and turned a dreaded situation into the blessing of having a new custom-built home. They handled EVERYTHING...from the very first bit of demolition to the day we did the walk-through...and gave us a...
Robert G. , Lumberton, NC
They did a great job and have a good staff that were responsive. I would use them again and recommend them often. They did a great job and have a good staff that were responsive. I would use them again and recommend them often.
Phillip B. , Youngsville, NC
I love our Red Door home! When we first went with them, they kept saying "your dream home" and now I know why.... It's truly a dream and we're so glad we want with them instead of someplace else!! I love our Red Door home! When we first went with them, they kept saying "your dream home" and now I know why.... It's truly a dream and we're so glad we want with them instead of someplace else!!
Linda & Mo
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Matt and his team in Garner have gone above and beyond to help get our house built. There were a few bumps along the way but they were quickly fixed. There were many nights where Matt and/or our builder would be on the phone with us after hours to make sure we got what we needed. This kind of customer service and accountability is incredibly rare to find, especially in the construction industry. We have been in our house for around 2 months now and couldn't be happier. Their were a few minor issues after we moved in, but once again Matt and his team came through and had them resolved in a week or 2. If you're looking to build a new house, you can't ask for better people to work with. Red... Matt and his team in Garner have gone above and beyond to help get our house built. There were a few bumps along the way but they were quickly fixed. There were many nights where Matt and/or our builder would be on the phone with us after hours to make sure we got what we needed. This kind of customer service and accountability is incredibly rare to find, especially in the construction industry. We have been in our house for around 2 months now and couldn't be happier. Their were a few minor...
Sherri M. , Clayton, NC
We searched and searched for a solution for a home that allowed us to build on the site of our current very old home that was affordable, timely and professional and couldn't be happier with our choice to have Red Door Homes as our builder. We searched and searched for a solution for a home that allowed us to build on the site of our current very old home that was affordable, timely and professional and couldn't be happier with our choice to have Red Door Homes as our builder.
Tara F. , Smithfield, NC