Updated over 1 year ago on . Most recent reply
Construction Loan Exit Options
Hi folks,
My wife and I have a construction to permanent mortgage loan on land+home where we intended to build.
Unfortunately, we found out that unexpected foundation work due to soft soil would likely make the project use triple our contingency reserve before even breaking ground.
We are exploring our options on how to transfer our current financial obligations for this construction loan to some other loan offering (as moving forward with the project is now too financially risky). We requested a payoff statement today and should be receiving it in the mail within the next week (just to understand the details).
We are expecting it to be ~$137K. Has anyone been through this before? What are possible options to transfer out of this construction loan? We spoke to the lender but they weren't much help beyond saying "you've got to find a way to pay the 137K".
All thoughts much appreciated.