What Should I Know About Financing a Log Home?

As you begin the process of financing your log or timber frame home, you will discover that there are a number of differences compared to financing a conventional home. Below is a list of items to consider:

Selecting A Lender

  • There are two types of Construction loans: A “Two-time Close,” means the lender will provide you with a construction loan that will need to be refinanced into a new permanent mortgage loan once the home is completed. This type of transaction requires that you re-qualify for the new permanent mortgage and it also requires that you pay two sets of closing costs.
  • A less expensive approach is a “One-time Close” loan. Here, the lender provides one loan for the construction period. When the home is finished, the loan will automatically transition to a permanent mortgage. Remeber, lenders policies vary, but for the most part, this type of loan will not require you to re-qualify or pay new closing costs when the home converts to the permanent mortgage.
  • During construction, you will pay an interest only payment based on what you owe each month. As your balance increases, so will your monthly payment. When the home is finished, you will begin to pay a Principal, Interest, Tax and Insurance payment similar to a normal conventional mortgage loan. Construction loan terms vary from 6 months to 12 months and beyond. Check with your lender.
  • Find a loan officer who is experienced in construction lending, preferably experienced in log homes or timber frame construction. You want to deal with an expert that you can rely on during the construction process.
  • Make sure your lender can accommodate the required payment terms of your log home or timber frame company. Understanding this upfront can save many challenges later in the process.

Getting Your Loan

The lenders listed below are either regional or national lenders specializing in the financing of log/timber homes and log/timber home construction loans. We also encourage you to check with your local banks and credit unions.

BB&T Bank

CLICK HERE to find a local BB&T Branch Loan Officer.

  • Serving NC, SC & VA, AL, DC, FL, GA, KY, MD, TN, TX and WV
  • Construction to Permanent Financing

Citizens Bank – Not your typical bank. ®

Contact: Dave Strickler, Senior Loan Officer

Gulf States Mortgage Corporation

Mobile: 215-896-0650
eFax: 866.283.1625
Email: david.strickler@citizensbank.com
Website: https://www.citizenslo.com/dstrickler/default.asp

  • Coverage Area: Connecticut, Delaware, Illinois, Indiana, Kentucky, Maine, Maryland, Massachusetts, Michigan,
    New Hampshire, New Jersey, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina, Tennessee, Vermont, Virginia, and West Virginia.
  • Construction to permanent mortgages
  • Primary & Secondary Home Buyers
  • Online Application

Farm Credit

Farm Credit

Visit www.farmcredit.com to find a Farm Credit location nearest you!

Who we serve:

  • Country homes
  • Purchasing bare lots
  • Lots and home construction
  • Modular, log and other unique homes
  • Refinancing existing homes

First Eastern Mortgage Corporation

Contact: Marianne Jerzyk
A Division of First Federal Savings Bank

First Eastern Mortgage Corporation Banner

Call toll-free: 888-590-1907 Ext. 13
Email: mariannej@firsteastern.com
Website: mariannej.firsteastern.com

  • Coverage Area: CT, FL, MA, ME, NH, NY, RI, & VT
  • Over 18 years in the Financial Services Industry.
  • Trusted Advisor
  • New Home Construction Loans
  • Help for First Time Home Buyers

Gulf States Mortgage Corporation

Contact: Lee Bowley

Gulf States Mortgage Corporation

Call: 903-694-2355
Email: leebowley@gsmc.us
Website: www.gsmc.us

  • Coverage Area: TX & LA
  • Over 15 years in the Financial Services Industry.
  • New Home Construction Loans
  • FREE No Obligation Pre-Qualifying

Log Home Funding LLC

Contact: Guy Williams, Log Home Loan Consultant

50 N. 3rd Street, Box 243
Hamburg, PA 19526

Direct Dial: 877.920.1444
Email: guy@loghomefunding.com
Website: www.loghomefunding.com

  • One Time Closing on construction to perm loans
  • Serving CT, DE, IL, IN, KY, ME, MD, MA, MI, NH, NJ, NY, OH, PA, RI, VT, VA, WV and DC

Log Lenders of America

Log Lenders of America

Call Toll Free:  888-880-5647
Email: scott@loglenders.net
Website: www.logloans.com

Phone:  888-880-5647
Fax:     409-738-2424



  • Construction Loans – for both GC’s and Owner Builders
  • Permanent Mortgages – purchase an existing log home
  • Refinances – reduce your rate or pay off your construction loan

Susquehanna Bank

Contact: Greg Ebersole
Residential Mortgage Banker, Lancaster Susquehanna Bank
NMLS #649873


Greg Ebersole

1800 Fruitville Pike, Lancaster, PA 17601 | Mailcode: LANCASTER BC
Tel: 717.285-6605 | Fax: 717-286-0029
Email: Greg.Ebersole@susquehanna.net | Web: www.susquehanna.net/mortgagelenders/gregebersole
Connect with us: Facebook | Twitter | YouTube | Blog

    • Coverage area: DE, MD, NJ, PA, VA & WV

Union Mortgage Group

Union Mortgage Group

Jacob Crowder
NMLS 198432
Mobile: 803-719-1005
Office: 803-234-3647
Fax: 803-753-9210

Please find an online application @ www.bankatunion.com/JacobCrowder

  • Up to 95% Loan-To-Value on primary residences and up to 90% Loan-To-Value on 2nd homes
  • Up to 100% end loan financing is available
  • 12-Month construction period
  • Easy builder approval

Wells Fargo Home Motrgage

Union Mortgage Group

Troy Kennedy, MBA
888.LOG.TIMBER (888.564.8462)