Botero Homes and MVB Mortgage Seal an Alliance
Many years ago we met Mark Ferguson, a recognized leader in construction lending in Northern Virginia. Now that he is Builder Division Vice President specializing in Mortgage Loans with MVB Mortage, Botero Homes sealed an alliance for the benefit of our clients. The experience of working together has been excellent. During this partnership, we have refined the procedures to make the process more efficient.
The Loan: Once Botero introduces the client to the company’s Vice President of Mortgage Loans, Mr. Mark Ferguson, he takes care of guiding the client during the entire loan approval process. While complying with all the new regulations imposed on banks after the 2008 crisis, he makes it as simple and expeditious as possible.
Terms: The bank finances about 80% of the total cost of the project including the land acquisition. It is a 12 to 18 month construction loan. At the end of construction, the bank transforms the initial construction loan into a “permanent loan” over 20 to 30 years based on the need of the client. As Botero’s preferred lender, MVB provides the most competitive financing solutions for our clients.
The Building Process: The bank prepares a “Draw Schedule” to disburse the loan in tranches as the builder finishes every phase of construction. The bank sends an inspector that carefully verifies the construction stage. Once approved, the bank releases the draw to a particular bank account opened by Botero and the client. The last draw is conditioned to the county issuing the occupancy permit.
Requirements by the Bank: In order to formally process the loan, the bank requires that Botero send the construction contract and the architectural plans accompanied by the receipt of the initial deposit made by the client, which is 25%-35% of the cost of the construction, at the discretion of Botero Homes. For large projects of more than $2,000,000, Botero may accept the deposit to be paid in two installments: (1) the first installment of 50% when the construction contract is signed, and (2) the second 50% at the time of closing of the loan. The second part of the deposit is sometimes financed by the bank.
11325 Random Hills Rd
Fairfax VA 22030
Office: (571) 266-6485
Cell: (301) 674-5851
Specializing in Portfolio Lending with Construction to Permanent Products. Call me today for a Private Consultation to CREATE a loan tailored to you and your choices!