Ground-up construction

Ground-up construction loans for builders.

Financing for investors and builders putting up new homes to sell or rent, funded on a draw schedule as the build progresses.

Get Terms on This Loan (816) 710-5936

How it works

Built around your track record and your budget.

Ground-up construction loans fund a new build from the ground up, with the construction budget released in draws as each stage is completed and inspected. They are business-purpose loans for investors and builders, not for a home you plan to live in.

Lenders weigh construction experience heavily here. Completed builds in the last couple of years carry the most weight, and a borrower without them should expect a harder road and more cash in the deal.

Expect a survey, real plans and permits, and a detailed budget. A builder with a clean, line-item budget and finished projects to point to is the borrower these lenders want.

Terms are structured case by case, based on the project, the market, and your experience. Tell us about the build and we'll tell you honestly whether it's placeable and where.

Typical terms

What to expect on a ground-up loan.

Funding
Draw scheduleReleased as construction stages are completed and inspected.
Experience
Weighted heavilyCompleted builds in the last 24 months matter most.
Survey
ExpectedAlong with plans, permits, and a line-item budget.
Terms
Case by caseSet by project, market, and experience.

These are typical ranges across the lenders we place with, not a quote. Your actual rate, leverage, and terms depend on the property, your credit and experience, and the lender.

Is it the right loan

Who this fits, and who it doesn't.

Good fit

Builders with finished projects to show.

  • Investors and builders with recent completed builds
  • Projects with plans, permits, and a line-item budget
  • New construction for sale, or to rent and hold
  • Builds in markets with clear comparable sales
Look elsewhere

Projects that aren't ready.

  • A first build with no construction experience on the team
  • Raw land with no plans or permits yet
  • A home you plan to live in

What we need

What a construction file needs.

  • Lot details and purchase contract, or proof you own the land
  • Plans, permits, or a clear timeline to permits
  • Line-item construction budget and timeline
  • Survey
  • Your completed construction projects
  • Entity documents, photo ID, and bank statements

Tell us the build

Lot, plans, budget, and what you've built before.

We find the fit

Ground-up guidelines vary widely, so we pre-screen before you spend on reports.

Close and draw

Funds release in stages as the build progresses.

Questions

Ground-up construction questions.

Do I need construction experience?
It matters a great deal. Lenders weigh completed builds in the last 24 months most heavily. Without them, expect lower leverage and more cash in the deal, if the project can be placed at all.
How are construction funds paid out?
In draws. The construction budget is released in stages as each phase is completed and inspected.
Can I build to rent instead of sell?
Yes. Build-to-rent projects can refinance into a long-term DSCR loan once the property is finished and leased.
What are the rates and leverage?
They're set case by case on ground-up loans, based on the project, the market, and your experience. Send us the deal and we'll come back with real numbers.

Other loan types

Not quite the right fit?

Fix and Flip LoansPurchase plus rehab, funded in draws. Bridge LoansShort-term capital to close fast or hold. DSCR Purchase LoansBuy a rental on the property's income.

Planning a build?

Two minutes to tell us what you're working on. No application fee, no credit pull to get a conversation started.

Apply Now (816) 710-5936