Construction to Permanent Loans in Murfreesboro, TN
One Loan, One Closing, and a Clear Path from Building to Homeownership
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A construction-to-permanent loan allows Murfreesboro homebuyers to finance the construction of a new home and the long-term mortgage through a single loan. Instead of managing separate construction and mortgage financing, this approach brings both phases together into a single, organized process, helping to create clarity from the planning stage through move-in.
How a Construction to Permanent Loan Works
This loan begins during the construction phase, where funds are released in stages as the home is built. These stages align with construction milestones and help ensure progress continues while maintaining financial oversight. During construction, payments are typically based only on the portion of funds that have been drawn.
Once construction is complete, the loan automatically converts to a permanent mortgage. At that point, the payment structure transitions to a traditional mortgage, providing long-term stability without a second closing.
Why Murfreesboro Homebuyers Choose Construction to Permanent Loans
Many buyers in Murfreesboro choose this loan structure because it simplifies a complex building process. One loan and one closing can reduce paperwork, limit unexpected costs, and provide a smoother experience during construction. This structure also allows buyers to plan confidently for life after the build is complete.
It is especially helpful for buyers building on their own land or working with local builders familiar with the Murfreesboro and Rutherford County market.
What to Know Before Choosing This Loan
Construction-to-permanent loans require thoughtful preparation. Builders must be reviewed and approved, budgets must be detailed, and timelines should be realistic. Because this loan covers both construction and long-term financing, early decisions are critical to the project’s overall success.
Is a Construction to Permanent Loan Right for You?
This loan is often a strong fit for buyers who want to build a custom or semi-custom home and prefer a simplified financing experience. If you value fewer closings, predictable transitions, and a clear path from construction to ownership, a construction-to-permanent loan may align well with your goals.
Your Path with Honor Home Loans Murfreesboro
Our process begins by understanding your building plans, budget, and timeline. We coordinate with you and your builder to review documentation, establish draw schedules, and clarify expectations. From the first phase of construction through conversion to permanent financing, our team remains involved to provide guidance and support at every step.
Disclaimer: The content on this page is based on regulations and information available at the time of posting, but may change without our knowledge. This content is intended for informational purposes only and does not constitute any legal or binding agreement.
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Why Murfreesboro Homebuyers Trust Honor Home Loans
Homebuyers throughout Murfreesboro and Rutherford County rely on Honor Home Loans for clear communication, organized processes, and financing solutions that feel steady and well supported from the first conversation through closing.
She was so helpful and knowledgeable. She is so patient and kind! I know I asked her the same questions over and over again and she was always so positive. She made sure I was 100% confident with the knowledge she shared. She was always a call/text away!
Heather made everything easy and explained everything so I knew exactly what was going on daily. She was very knowledgeable and responsive to any questions I had. In my opinion, she went over and beyond to help me with anything I needed. She is a very caring person and wanted to make sure I was happy with the purchase of my new home. I would definitely recommend Heather to family and friends. She has been a true blessing for my family.
Heather and Charity made this great. That is why I chose this organization to finance my new home. It wasn’t the company…it was the people!
Proudly Serving Those Who Serve Our Communities
We proudly serve homebuilders, veterans, first responders, educators, and families throughout Murfreesboro, Smyrna, La Vergne, Christiana, Rockvale, and all of Rutherford County.