Who is liable for interest payments on a construction loan until buyer signs at closure.
We had a home built beginning in October 2006. The builder had the construction loan and we were told that it normally takes twelve (12)months to complete the home. Our leases were not up in our apartments until July 31, 2007 which is what we advised the builder. The home was completed in June 2007, and we did not move into it until September 1, 2007. There had been some going back and forth with the financing due to the real estate market and getting a firm appraisal for the sale price of the home. The builder now wants us to pay $6,758.20 for chages that they alleged that they had to pay. This was our first adventure with a builder and at first when the builder approached us and asked us if we would at least pay half of the amount because he was in financial straits, we gave him $2,000.00. After that we advised him that we had no more money and that we also felt that we are not responsible to pay him anything becaue we did not take possession of the home until August 31, 2007