Construction Loans

Building your dream home? Make interest-only payments during construction and convert to a fixed rate after.

A man in a hard hat shows a blueprint to a man and woman at a construction site

Custom home? Custom loan.

Customize your loan from the ground up with a single mortgage loan originator, a single loan, and a single closing process.

  • Close your construction loan and permanent financing of your future home at the same time
  • Make interest-only payments while you build
  • Convert to a 15-, 20-, or 30-year fixed rate after1

What is a single-close construction loan?

A single-close construction loan helps you finance your home from the ground up and pay your home off once it’s been built. This means you only pay closing costs once, which reduces your overall expenses.

During construction, we draw from your loan to pay your contractor for building costs, such as:

  • Land
  • Labor
  • Permits
  • Materials2

Once the building phase is complete, your single-close construction loan converts to a traditional mortgage without duplicate settlement fees.


Save yourself the struggle

When navigating finances has your head spinning, our mortgage specialists can step in to help you stay informed and make the right choice for your future.

Our loan experts have years of experience helping people buy homes and find the right loan.

Construction Loan FAQs

There are criteria every borrower must meet to qualify for a mortgage loan with us. This typically includes two years of employment at your job or in the same line of work, a minimum credit score of 620, and verified funds to close on the transaction. Once these boxes are checked, our experts can help you figure out the rest. Loans are subject to credit review.

Your credit score is a vital part of determining your mortgage rate and loan amount. A higher credit score could result in a lower rate and lower monthly payment, while a lower credit score could result in a higher rate and higher monthly payment.

No. A single-close construction loan is for primary residences only. Investment properties and “spec” homes are not eligible.

Ideally, new home construction is completed within about 12 months with a general licensed contractor. If the building process exceeds 12 months, contact your Mortgage Specialist who will advise on next steps.

No. You cannot complete construction work yourself. Your builder must complete all the work.

Yes. Your land purchase can be rolled into your one-time transaction and covered in your single closing.

Once the Construction Specialist receives a draw request, a draw inspection is ordered and upon receipt, an inspection is completed to verify the work completed by the builder. If satisfactory, a check is paid to the borrower. Draws are used for the building of the home and excludes home décor, furniture, and other home furnishings that cannot be financed in the construction loan.

Not the right mortgage match? Swipe right on our other options!


Fixed-Rate Mortgage

A fixed-rate mortgage offers a stable interest rate for people looking to settle on the right home and stay there awhile.


Adjustable-Rate Mortgage (ARM)

With an adjustable-rate mortgage, you can lock in a low starting rate and choose the option that fits your needs and budget.


FHA and VA Loans

FHA and VA loans are government-backed mortgage loans that make it easier for veterans, servicemembers, and first-time homeowners to buy a house.


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1A mortgage loan financed for 20 years @ 2.75% APR would have a monthly payment of $1,355.22. The preceding information is an example only. Your terms will be based on your individual situation. Eligibility requirements, closing costs, and fees may apply.

2Home design, décor, furniture, and other home furnishings can’t be financed in the construction loan.