How Much Money Can You Borrow to Build Your Own Home? (And Giveaway!)

This month we're talking about the book Be Your Own House Contractor. And this week, we're looking at some pieces from the book's companion website at http://www.byoh.com/. Today, we'll discuss how much you can borrow when building a new home. The site does a good job of answering this question, but what I want to note is the importance your credit score plays in how much you end up paying on your loan. The details:

The higher your FICO score, the lower your payments! See for yourself. 30 Yr fixed $300,000 mortgage:

• 760-850 = 6.387% = $1,874 per month
• 700-759 = 6.609% = $1,918 per month
• 660-699 = 6.893% = $1,974 per month
• 620-659 = 7.703% = $2,140 per month
• 580-619 = 8.883% = $2,389 per month
• 500-579 = 9.853% = $2,600 per month

Just the point we've discussed a few times here at Free Money Finance. For more details, check out Your Bad Credit Could Cost You $1 Million.

Want to know more? You can win a free copy of Be Your Own House Contractor. Here's how it works:

1. Leave a comment below -- any comment.

2. Sometime Monday, I'll stop by the post, stop the submissions, and name the winner.

3. It will be that person's responsibility to check back to see if they are a winner and then email me their contact information.

4. I'll send all the winners their books in one mass mailing going out the second week in September.

A few rules for these giveaways:

1. You can not win more than one prize.

2. I will be the complete and final judge.

3. Legal disclaimer: I can not guarantee safe delivery of the items. I'll send them via US Mail, so it's likely they'll be fine, but I can't control it and won't be held accountable if the mail system messes up.

4. If you win something and do not contact me within a week of winning, I reserve the right to give your prize away to another winner. Note again: I won't track down the winners -- it's your responsibility to come back and see if you won.

Good luck! Post a comment below for a chance to win this book!

Comments

[Jonathan]

Great blog! I've really enjoy reading your posts and everyone's comments. It's been very motivating as I work towards my financial goals. Keep up the good work.

[Scott Kustes]

Is it my turn to win yet?

[Cherly]

I think the odds should start leaning my way by now

Count me in!

[JH]

.

[Eric G.]

i can't take losing anymore.

[Richard]

Looking to end the week on a good note!

[Dave]

Baby needs a new house!

[Justin]

I grew up watching a lot of 'This Old House', so building my own home has been on my radar for a long time.

[SH]

Count me in!

[Thad]

After the last few days, I feel my odds are worse to win a copy of this book than they are with the Megamillions tonight!

[esther]

how much is this book again? I'm starting to think that at this rate it might be more cost effective to buy it online or something instead of taking the time to come in here and post a comment :P Plus, I'd get to read the book in the meantime....

still, trying again :)

[Kevin]

Book me, please.

[Jay]

I am in.

[Dee Whit]

I would like to enter again to win an interesting book!

[Reto]

This time it has to be me!

[Familyfinanceguy]

Another entry!

[little rick]

as in the show welcome back carter,,,,,oh,oh,oh,oh..me

[Hemal]

not yet but still trying :)

[Armel]

Another day, another entry... hope its me now

[GeekMan]

Is it my turn to win yet?

[Richard M.]

Please enter me in the drawing, again. Thanks.

Note, this is a free drawing with much better odds than state lotteries and yet I haven't won, yet. I know no one who reads FMF plays the number, but it is still a great object lesson that the lottery is a tax on the innumerate.

[Adam]

i hope i win

[JMS]

Another day, another entry!

[Rick]

Here's my free post. And Richard M. you have a good point. If I can't win this contest, what makes me think I could win the lottery with far worse odds?

[Rick]

Actually, just checked, Richard M., and you won yesterday! Hmm, maybe I'll win today. (This doesn't count as an entry since I already submitted an entry for today.)

[Brad]

enter me again

[Garan]

Here's hoping again

[lily]

meeeee!!!

I check out your blog on my lunch break!

[cmahlum]

oops, forgot my name.,

[Cory]

Hook me up!

[ashley]

hey! thanks for the chance!

[John]

count me in. Fingers crossed :-)

[FMF]

This giveaway is now closed. The winner is Eric G. who posted at 9:09 am Friday. Congrats!

Eric, please email me (see: http://www.freemoneyfinance.com/2005/04/free_money_fina_4.html ) and we'll arrange to get you your book.

To the rest of you, stay tuned. I still have plenty of copies (5) to give away!