4 Ways to Finance
Your Log Home

Ways to Finance - cabin

Looking for ways to finance in a tough market? Although we've been hit with a nationwide housing slump, there are growing signs of a recovering market and this can be a great time to build a log home. Interest rates are down and builders are offering good rates and a fairly quick turn-around on construction.

Sometimes you have to be creative about how you structure the financing for building a log home. Here are 4 methods to look at for financing your cabin:

Log Home Construction Loans

The most common method of financing your log home is using a log home construction loan. This is similar to conventional construction loans but it’s important that your lender is familiar with log homes. There can be key differences in payments and timing, especially if you're using a log home kit.

In addition to the actual construction loan you can save money by using a one-close loan or construction-to-perm loan where the construction loan automatically converts to a mortgage once the construction is finished. Visit our page on log home construction loans for more information.


Another method of financing your log home is if you are able to offer cash for your construction. You may be able to negotiate a better deal with your builder for financing your log home, but be prepared to establish a draw schedule so that you are only covering the amount of the total cost already used as the build progresses. You will save on interest payments and have a greater control over how you distribute the money.

Builder Financing

Many builders are now offering to finance your project. They may offer traditional financing or they may do it by taking credit cards (and you get to keep the points) or even using PayPal.

Be aware that this is generally for smaller projects and may involve multiple transactions to get around your monthly limits. If you have a card that offers cash back or airline mileage that can be an incentive to go this route.

Home Equity Loans

If you have been living in your current home for a while you will have built up significant equity in your home with your monthly mortgage payments. You can draw against this equity by taking out a home equity loan and using that money to deal directly with a builder.

It’s a good idea to set up a draw schedule and contract specifications with your builder so that they receive the money as they use it and you can verify each stage as you progress through the construction of your log cabin.

These are just 4 ways to finance your log home that are commonly available. Check with log home lenders for other ideas and to help with your specific project.

 More Cabin Financing Pages:

Enjoyed this page? Please LIKE and SHARE it on Facebook:

New! Comments

Have your say about what you just read! Leave me a comment in the box below.

Home | About Us | Contact Us | Privacy Policy | Disclaimer

FAQs | About This Site | Advertise | Site Map | Glossary | Disclosure Policy

©2008-2021 Log Cabin Connection
All rights reserved

LIKE and SHARE Log Cabin Connection:

NEW! Check out our Facebook page:

We use affiliates and ads. No cost to you. Click for FTC disclosure.

Check out our Cabin Shop!

Cabin Rugs for Interior Design!

Jamaica Cottage Shop

Ebates Coupons and Cash Back

Sign up for Personal Capital and get $20 free!

Financing Your Log Cabin

Learn How You Can Finance a Log Home
Log Home Construction Loans Made Easy
List of Nationwide Log Home Lenders
Other Ways to Finance a Log Home
Ways to Save Money on your Mortgage
Log Home Insurance for Peace of Mind
Mortgage Money-Saving Tips
Home Financing Primer
Understand the Mortgage Loan Process
Free Credit Score Calculator
Personal Capital - Free Investment Checkup
Financing Your Log Cabin Renovations: A Guide

Recent Articles

  1. Cabin Interior Design Blends Form and Function

    Cabin interior design combines layout and functional design with aesthetic cabin decorating decisions for the perfect log cabin interior.

    Read More

  2. Transforming Your Cabin With Rugs

    Transforming your cabin with rugs is a quick and easy way to Keep It Cozy!

    Read More

  3. Log Cabin FAQs

    Answers to many log cabin FAQs and other questions about building with logs and timbers.

    Read More