Wild Plum House Loan Details

Notes:

  1. I am told the typical general contractor makes between 19% and 25% commission.
  2. Property is zoned agricultural, make sure the banks know this.
  3. Check w/ Insurance Agent about house design.
Option A: Construction Project Services Option B: First Federal Bank
6.5% on construction loan 8.5% on construction loan
7% on home loan Unknown on home loan
15% commission (12% consultation, 3% job coordinator) Unknown commission

Items in common:

  1. Will buy out Wells Fargo with construction loan.
  2. No second down payment required for home loan.

Questions:

  1. How are pre-payments applied to principle?