Construction Loans
Financing for real estate investors who build new properties to sell or to rent.
Get a QuoteWhat Is a Construction Loan?
A construction loan is short-term financing that helps real estate investors pay for building a new property. Instead of receiving all the money at once, funds are usually released in stages as the construction moves forward. Investors use construction loans to build homes they plan to sell or keep as rentals.
How a Construction Loan Works
- 1. Plan: Choose the land and prepare your building plans and budget.
- 2. Build: Funds are released in stages as each part of the construction is completed.
- 3. Sell or Rent: Sell the finished property, or rent it out and move to long-term financing.
Build to Sell
Build a new property and sell it once construction is complete, maximizing your short-term project ROI.
Build to Rent
Build a new property and keep it as a rental to earn stable, recurring income over time.
Why Investors Use Construction Loans
- Financing built for new construction projects
- Funds released in stages as the work is completed
- Options for both build-to-sell and build-to-rent strategies
- Designed for investment projects, not owner-occupied homes
Who Are Construction Loans For?
- Investors building homes to sell
- Investors building rental properties
- Builders and developers with new construction projects
Construction Loan FAQs
What is a construction loan?
It is short-term financing that helps an investor pay for building a new property.
How is it different from a regular mortgage?
A regular mortgage is a long-term loan for a home that already exists. A construction loan is short-term and pays for a property that is being built.
How are the funds paid out?
Funds are usually released in stages as each part of the construction is completed. The details depend on the loan and the project.
Can I build to rent instead of selling?
Yes. Some investors build a property to keep as a rental, and then move into long-term financing after construction.
How do I get started?
Click "Get a Quote" and share the details of your project.
Ready to Start Your Next Build?
Take the next step and secure financing for your new construction project.
Get a Quote