Atlanta, GA, January 12, 2006--Home Depot has launched The Home Depot SPEC Construction Loan program, available through all of its 1,767 U.S. stores.
This is the first nationwide SPEC loan program for qualified contractors, builders and developers that gives borrowers access to up to $2 million and the ability to earn five percent rebates on all project supplies and materials purchased at The Home Depot, The Home Depot Supply, The Home Depot Floor Store, The Home Depot Landscape Supply and EXPO Design Center.
The loans will be provided by IndyMac Bank, a top 10 provider of home financing nationwide and a leader in home construction financing.
"Our new SPEC loan program with IndyMac Bank allows us to provide enhanced services nationwide to our builder customers and enables us to capitalize on this growing segment of our customer base," said Frank Blake, executive vice president of Business Development for The Home Depot. "The residential construction loan market is a multi-billion dollar industry, and this new program paves the path for small- and medium-sized home builders to make The Home Depot their primary destination for all of their new construction needs."
Benefits for the small- to medium-sized home builder include:
- Five percent cash rebate on all project supplies and materials purchased at The Home Depot and its affiliates during the life of the loan
- The Home Depot and its affiliates as a one-stop shopping destination for loans and home building supplies and materials
- No up-front expenses for project purchases with a dedicated Home Depot commercial account, so the builder can make purchases prior to receiving the disbursement from the loan
- Easy, streamlined application process, which can be initiated by calling (800) 281-0855 or by visiting www.hdconstructionloan.com
- Dedicated IndyMac Bank construction loan specialists available for all loan-related questions
- Competitive loan terms
- Fast disbursement online
- Convenient online access to loan information and construction funds any time, day or night
The SPEC loan program targets small- to medium-sized residential contractors, builders and developers with at least five years of experience in the building and marketing of single-family homes. Those not meeting this requirement will be reviewed on an individual basis.
"As a national leader in home construction financing, we are pleased to join The Home Depot in this SPEC Construction Loan program," said Jim Fraser, president, IndyMac Bank Home Construction Lending. "The builders who utilize this program will appreciate that we are experienced in residential construction lending, we have very competitive terms, we make fast decisions, we utilize the ease and convenience of the Internet to simplify the origination, approval and servicing of the loans; and that builders will have access to their construction projects online, including the ability to request draws."
Eligible builders can borrow up to $2 million to cover the cost of one home or multiple homes, and The Home Depot SPEC Construction Loan carries terms up to 18 months. These terms cover the construction and marketing of the home. The dedicated commercial account features easy-to-read, itemized monthly statements and online account management. Additional cards are available for builder employee access, and there are convenient purchase tracking options.
"SPEC" is an industry term referring to speculative homes -- homes that are built before they are sold to a consumer. While customers can participate in the SPEC Construction Loan program today, signage and brochures will be in all The Home Depot stores in the United States by the end of April.
