So you are working through plans to build a post frame home and you approach your local bank for a loan, only to find out that they won’t finance your project! Why is this a common problem? It usually comes down to how they view post frame construction.
While some banks are catching up with the fact that the post-frame industry is making great progress on building science, some only see post- frame buildings as “Temporary Structures” mainly because of wood treated post foundation being placed directly in the ground as opposed to a concrete poured footer wall on a traditional built stick-frame home.
What they don’t realize is that there are great foundation products for post-frame home foundationd such as concrete Perma-Columns, Wet-set brackets and Post Protector sleeves as shown in our YouTube video here.
Some banks will offer to finance once they are educated on the fact that if built properly, post-frame homes can last as long and longer than traditional stick frame homes, but some will not, so what are you to do?
Thankfully, we have developed relationships with several banks that are interested in financing post-frame projects, from shops to full-on homes!
The first lender we currently recommend as of the beginning of 2020 is New Century Bank They have worked well with our clients and have financed full homes that we have completed. They fully understand the post-frame building method and are excited to get behind this relatively new trend of “Barndominiums” and Shop/Homes.
Another lender who is trying to expand their range to larger projects is Eric Schwartz with Home Loan Bank Eric has been working to offer larger amounts for bigger home improvement projects and post-frame construction.
Hopefully, your local bank will work with you and give you great rates on your post-frame project, but if not, maybe something in this article will help you get through that next step!
Good luck with your planning and shoot us a message if we can help you out! Our building range is Northern Indiana and Southern Michigan.