Construction Lending Support

Access a better construction loan approach.

Encompass has the support you need to easily process Construction-only and Construction-to-Perm loans.

Benefits

  • Clear construction loan parameters
  • Flexible yet efficient processing framework
  • Simple user experience

A better construction lending process

When the CFPB’s Know Before You Owe (KBYO) regulation was introduced in 2015, there was very little guidance on how to complete construction loans. Working together with investors and a group of very engaged lender clients, Ellie Mae led the charge on developing a comprehensive way to successfully process Construction-only and Construction-to-Perm loans within Encompass.

Rather than simply providing calculations and new documents, Ellie Mae® took it to the next level by providing a comprehensive approach to managing and processing Construction-only and Construction-to-Perm loans from application through closing. This approach provides significant guidance and parameters for lenders and but keeps processing configurable and flexible enough to meet the needs of a variety of compliant construction processes.

Construction management tool

The Construction Management Tool provides a central location within Encompass to originate construction loans and input key construction tracking information, making the construction lending process more efficient and consistent with the standard loan origination process.

The screens are dynamic based on the purpose of the loan, so that only the sections lenders need will be visible, making it a much simpler user experience.

Construction products supported

Ellie Mae supports a variety of products for Construction-to-Perm = 1x Close utilizing separate disclosures, and Construction-to-Perm 1x Close utilizing blended disclosures.

Additional support for Construction loans utilizing separate disclosures includes a new, configurable link and sync tool that allows users to keep data in sync between the two loan files and provides the ability to link to a new or existing Construction-to-Perm loan. Sync templates can also be created to automate and streamline the process.

When ordering documents through the Encompass Docs Solution, only one set of documents need to be ordered and returned back into just one loan file, for added efficiency.

Closing documents

Encompass Docs Solution includes closing documents for both Construction-only and Construction-to-Perm loans as a part of our standard offering.

Federal and state compliance reviews

Included with Construction Lending Support, Encompass Compliance Service, powered by Mavent®, performs the necessary federal, state, and local consumer protection compliance reviews for Construction-only and Construction-to-Perm loans with either separate or blended disclosures.