You want the clarity and comfort of a move-in-ready new home in Weston, but the financing can feel like a maze. Between deposits, draw schedules, rate decisions, and local permits, there are many moving parts. This guide breaks it all down so you can plan your cash flow, choose the right loan structure, and navigate Weston and Broward County checkpoints with confidence. Let’s dive in.
How new‑construction financing works
Financing a new build generally follows three phases: deposit and contract, construction financing, and the permanent mortgage. In Weston, many production builders finance the build themselves and you close with an end‑loan at completion. If you are building custom or buying early in a presale, you may use a construction loan or a construction‑to‑permanent loan that converts to a regular mortgage when the home is complete.
Expect an initial deposit when you sign the builder contract. Industry norms often range from about 5 to 10 percent for many production homes or condo presales, with higher deposits for custom homes or lot purchases. Deposits are typically held in escrow under Florida rules. Refundability depends on the contract stage and milestones.
If a condo is part of your plan, confirm project approval requirements early. Many lenders follow agency guidelines for condominium projects, which can affect your financing choices during presales.
Step‑by‑step roadmap
1) Prepare before you contract
- Get prequalified for your end‑loan and ask lenders about construction‑to‑permanent or standalone construction options.
- Ask about down payment, interest reserves, and documentation you will need.
- Review the builder’s reputation, typical deposit schedule, warranty, and delivery timelines.
2) Sign the contract and manage deposits
- Confirm where deposits are held, which funds are refundable, and the conditions to cancel.
- Review termination and delay clauses. Understand remedies if the builder misses the delivery date.
- If the builder offers incentives for using an in‑house lender, compare the benefit against your preferred lender’s terms.
3) Choose your loan structure
- Decide on construction‑to‑permanent versus a standalone construction loan with a separate end‑loan.
- Provide plans, budget, schedule, and the builder contract to your lender for review.
- Discuss rate‑lock timing, extended lock costs, and any float‑down options.
4) Monitor construction and draws
- Lenders fund in stages tied to milestones such as foundation, framing, and substantial completion.
- Each draw requires an inspection and lien waivers from contractors.
- Expect interest‑only payments on funds advanced if you hold the construction loan. Keep detailed records of change orders and upgrades.
5) Finalize and close
- Obtain the final inspection or Certificate of Occupancy from the City of Weston or Broward County.
- Complete the final appraisal of the finished home.
- Clear any open permits and finalize title, insurance, and HOA or condo approvals.
- Convert your construction‑to‑perm loan or close on your end‑loan.
Cash flow during the build
Lenders release funds in progress draws after inspections verify completion percentages. A retainage of about 5 to 10 percent is often held until final completion and lien releases are in place. Under most construction loans, you pay interest only on the amount drawn. For builder‑financed spec homes, the builder typically carries construction costs until closing.
Keep every change order and receipt. Upgrades can affect your appraisal and your end‑loan terms, especially if scope or cost shifts from the original budget.
Rate locks and timing
Construction timelines can range from 6 to 12 months for many single‑family builds and 12 to 24 months or more for multi‑phase condos. That exposes you to rate movement and possible builder delays. You can lock your rate early for certainty, which may require an extended lock period and added cost, or you can wait to lock closer to completion to avoid long‑lock fees but accept rate risk. Some lenders offer extensions or float‑down features for a fee. You can also consider temporary buydowns or seller credits to manage early‑year payments.
The tradeoff is simple: early locks buy peace of mind at a cost, while later locks preserve optionality but carry market risk. Price both paths and note how delay clauses in your contract could affect your lock timeline.
Weston and Broward checkpoints
- Permits and inspections: Builders must secure building permits before vertical construction and obtain a final inspection or Certificate of Occupancy before closing. Lenders and title companies will confirm closed permits and final CO.
- Impact and permit fees: Broward County and the City of Weston charge fees that may appear in the builder’s budget or pass through to you under certain contracts. Confirm who pays.
- Property taxes: New construction is assessed upon completion. Taxes are prorated at closing and may adjust after your first full year. Plan for start‑up HOA or condo fees after closing.
- Condo project approvals: Many lenders require project review for condos. If a project does not meet agency or FHA/VA standards, financing choices may be limited. Verify status early in the process.
Timeline snapshot
Production single‑family home (spec)
- Contract to start: weeks to months, depending on lot and permits.
- Construction: often 6 to 12 months.
- Closing: after final inspections and CO.
Presale condo in a multi‑phase community
- Contract to groundbreaking: about 1 to 6 months as permits and sales thresholds are met.
- Construction: often 12 to 24 months, depending on the phase.
- Closing: after CO, final appraisal, and any required project approvals.
Lender documents and contingencies
- Borrower items: income, assets, credit, and any additional disclosures.
- Builder package: contract, budget, schedule, license, and insurance.
- Draw and inspection protocol, including lien waiver process.
- Appraisal of the completed home, sometimes with an as‑completed addendum.
- Permits and contractor licenses, plus title commitment and construction loan agreement if applicable.
- Contract protections to review: deposit refundability and escrow instructions, delivery date and remedies, financing contingency, change order handling, and warranty terms.
Common pitfalls to avoid
- Not confirming deposit refund triggers. Clarify the escrow holder and refund milestones before wiring funds.
- Relying solely on an incentive without comparing total cost. Builder credits can be valuable, but terms matter.
- Locking a rate too early without a realistic build schedule or extension plan.
- Letting change orders outpace your appraisal and loan budget.
- Overlooking condo project approval status until late in the process.
Your next step
If you are considering a modern build in Weston, a clear financing plan can save time and money. You can review options, timelines, and builder terms up front and avoid costly surprises at closing. To discuss your goals and a tailored path from deposit to keys, connect with SoFloLife to Schedule a Call.
FAQs
Are deposits on Weston new construction refundable?
- It depends on the contract stage and milestones. Early deposits are more likely to be refundable, while later deposits may become non‑refundable. Confirm the escrow holder and refund triggers in writing.
Who pays interest during construction loans for new builds?
- With a construction loan, you typically pay interest only on funds advanced. For builder‑financed spec homes, the builder usually carries construction costs until closing.
What happens if the builder is late delivering my Weston home?
- Your contract governs remedies, which may include extensions, liquidated damages, or termination provisions. If you locked a rate, ask your lender about extension costs.
Will my final mortgage rate match my initial pre‑approval for a new build?
- Not necessarily. Pre‑approval reflects rates at that time. Your final rate depends on market conditions and when you choose to lock, including any extension or float‑down costs.
What if the Weston condo I want is not yet approved for agency financing?
- Financing choices can be limited until the project meets lender and agency review standards. Check project approval status with your lender early in the process.
How are Broward County property taxes handled on new construction?
- New homes are assessed upon completion. Taxes are prorated at closing and may change after the first full assessment cycle. Budget for HOA or condo fees that begin after closing.
