Spec Homes: a few questions
We were planning on buying some property and having a custom home build in the not too distant futures. However, after doing some research it appears that we will not be able to obtain a construction loan any time soon.
I was pretty crushed until I came across a listing that I believe is commonly referred to as a spec home. The listing description states:
"Custom Home builder to build this wonderful floor plan or have the flexibility to design the home of your dreams. Rambler on acreage with a view of the mountain. Chance to build the home of your dreams with room to roam. Finishes include engineered hardwood flooring, slab granite. This builder believes quality is the only way!"
Is this a spec home? If so, we only need to obtain a traditional mtg loan, not a construction loan, correct? We could even use an FHA loan (within the limits), right?
Any downside to this sort of arrangement? We would want the builder to use our floor plan of course and I'm quite particular about most of the finishes and materials. Any advice? Thanks!