construction – permanent loan?
I have a vacant land with 1st mortgage loan of $ 200k with BB&T.I applied construction loan through same lender BB&T. At the settlement table I realized that I applied construction – permanent loan instead construction loan ($ 400k). I asked loan officer and he told me that was the right and only way to create a construction loan. They refinanced my 1st mortgage of $ 200k – that was a same lender – and created $ 400k construction loan.
Q1.What do you think? Was that a right way to do it?
In the loan application loan officer marked just Construction – Permanent Loan. As I mentioned earlier they refinanced my existing mortgage.
Q2.They did not have to mark on Refinance section?
I believe that there will be a draw schedule for construction loan.
Q3.It did not have to show all detail about construction loan on HUD?