We closed on our construction loan today. That's a big milestone, because it means that stuff will now start to happen. And hopefully continue to happen. Our builder is expecting to break ground next week.

I could bore you with the details of our loan package, but I'll just hit the highlights: we secured a construction loan that converts directly to a first mortgage when the house is finished, We got a 5.75% rate, which amazes me. We have built enough equity (by paying down our lot loan) that we'll avoid having to pay private mortgage insurance. And we can pay our taxes ourself, which means I shouldn't see a property tax bill due until the end of 2004.

We had paid a fee late last year to lock in at 6.0%, but then we got rid of the original builder we planned to use, and our lock-in expired, but the rate actually went down. I paid a nominal fee to lock in at 5.75% after that. And was glad to do so. That fee will pay for itself in seven months (at the loan amount we're at, and saving the quarter point in interest).

So financially, it was a great deal, and psychologically, it was an important event today. This project is under way.