What if I told you the single biggest fear keeping you from your dream home… isn’t the cost? It’s the nightmare of moving twice.
You’re sitting on a mountain of equity, trapped in a home that’s “good enough” but not “forever.” You can’t qualify for two massive loans at once, and the thought of selling, dragging your family to a cramped rental for 18 months, and then moving again is a complete non-starter.
This is the “Custom Home Catch-22.” It’s the number one dream-killer I’ve seen in my career. And for decades, it’s forced thousands of homeowners to just give up. Until now, we can help you Buy/Build before you sell!
The “A-ha Moment” from a 30-Year Vet
My name is Aaron, and I’m a construction loan officer here at Waterstone Mortgage. Here’s what makes my perspective different: I’m also a licensed general contractor and an active custom home builder.
For nearly 30 years, I’ve watched countless families put their dreams on hold, all because of this one logistical roadblock. They had the equity. They had the vision. They just didn’t have a financial path that respected their lives.
The traditional banking world tells you: “Sell your home. Get your cash. Then you can build.”
I knew there had to be a better way. And now, there is.
Radical Transparency: The old model is broken. It forces you to make a choice between your financial security and your sanity. The “new way” allows you to have both. We’ve designed a proprietary construction loan that solves the “move twice” problem for good.
It’s not a magic trick. It’s a financial solution built by people who actually understand construction.
How Does This “Build Without Selling” Loan Actually Work?
This is the question I get every day. The traditional model is linear. This new model is simultaneous, letting you use the equity in your current home as the down payment for your new build.
Let’s break down the process.
1. The “Equity Tap” (Your Down Payment)
First, we get an “as-is” appraisal on your current home. We use that trapped equity to structure the down payment for your new construction loan. This means you don’t need to save up a massive new pile of cash for the land or the build. Your current home provides the seed money.
2. The “Ghost Payment” (Solving the Qualification Problem)
This is the most critical piece. We structure the new loan so that the payment on your “departing residence” (your current home) is NOT counted against you when you qualify for the construction loan.
Let me say that again: You qualify for the new build based on your income, without the debt of your old mortgage holding you back. This is the secret key that unlocks everything.
3. 100% Financing for Your Build
Because we’ve used your equity as the down payment, our program can finance up to 100% of the construction costs for your new home. Your equity gets you in the door, and the loan builds the house. Here is a great resource to help determine how to get to 100% financing for a construction loan Construction Loans To Build Your Dream Home | Home Building Resources
4. The “Interest-Only” Bridge (Keeping Payments Low)
This is where we solve the “how do I afford two payments?” problem.
During the entire construction process, you only make interest-only payments on the funds that have been drawn so far.
- Month 1 (Foundation): You only pay interest on the small amount paid to the excavator.
- Month 6 (Framing): You’re paying interest on the funds used to date.
- Month 12 (Finishes): The payment is higher, but it’s still just interest.
This keeps your monthly housing cost incredibly low and affordable while you’re still living in your current home. You’re never forced to cover two full principal-and-interest mortgages at the same time.
But What About Going Over Budget? (A Builder’s “Second Set of Eyes”)
Here’s the other part where my “builder” brain helps my “lender” clients. The second biggest fear? An out-of-control builder who blows the budget.
Most banks are not equipped to protect you here. They see a contract and a number, and they cut checks.
We do the opposite.
“As a licensed contractor, I review your contract and your cost breakdown before we ever break ground. I look for red flags, vague allowances, language that might expose you to a price increase and budget gaps that your builder might have ‘forgotten.’ We help you understand exactly what you’re signing.”
— Aaron M., Construction Loan Officer & Licensed General Contractor
We monitor the project with you, every step of the way. We keep you in control of the payments to your builder. This isn’t just about lending money; it’s about making sure your project stays on track and within budget. It’s the peace of mind and advisory services you need when you’re building from a distance or just need a second set of expert eyes.
So, What Happens When the New House is Finished?
This is the best part.
✅ Step 1: Your new home is complete. The final draw is paid.
✅ Step 2: You move in. You take your time. You move your furniture, get the kids settled, and pop the champagne. You only move ONCE.
✅ Step 3: Sell your old home. Now that your old house is empty, you can stage it, list it, and sell it in a calm, controlled process. You aren’t “under the gun” to accept a lowball offer.
✅ Step 4: Pay it down. The proceeds from that sale are then used to pay down the principal balance on your new construction loan, and we seamlessly modify your loan into a permanent, long-term mortgage.
You built your dream home, avoided a rental, moved only once, and did it all on your terms.
Your Dream Home Isn’t “5 Years Away.” It’s Possible Now.
For years, that custom home on a piece of land you love has probably felt like a distant “someday” dream.
A dream for after the kids graduate, after you sell your house, after you save a huge pile of cash.
The “Custom Home Catch-22” made it feel impossible. But the logjam is broken. Your equity isn’t trapped. Your dream isn’t on hold.
You just need the right key.
💬 Let’s Build Your Dream
My question for you: If you could build your custom home tomorrow without the nightmare of selling your current one, what’s the first feature you would include in your new design?
A wine cellar? A wrap-around porch? A main-floor master suite?
Tell me in the comments below!
Your Next Step:
If you want to explore what this looks like on paper for you…
Let’s talk. Click the link below to schedule a free 15-minute “Dream Home Discovery Call” with my team. We’ll listen to your plan and show you the exact path to get it done. Need some Home Building Resources check out our resources www.Homebrs.com
[➡️ Schedule Your 15-Minute Discovery Call Today]