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AVANCE ONE BUILDER SPEC HOME LOAN
Unleash Your Building Potential: Up to 10 Properties, Up 100% to Build Cost Financing

How the Process Works

A one-time close construction loan is a type of financing that streamlines the process of building a new home or property by combining the construction loan and the permanent mortgage into a single transaction. Unlike traditional construction loans that require two separate closings—one for the construction phase and another for the permanent mortgage—a one-time close construction loan simplifies the process by offering a single closing.

Here's a summary of how it works:

  1. Single Closing: With a one-time close construction loan, borrowers only need to go through one closing process, which reduces paperwork, time, and potential fees associated with multiple closings.

  2. Construction Phase: During the construction phase, the borrower typically makes interest-only payments based on the amount drawn from the loan to cover the costs of construction. This phase allows the borrower to access funds as needed to pay contractors and suppliers.

  3. Conversion to Permanent Mortgage: Once construction is complete, the loan automatically converts into a permanent mortgage without the need for a second closing. The borrower transitions from making interest-only payments to regular principal and interest payments.

  4. Locking in Interest Rates: Some one-time close construction loans offer the option to lock in interest rates at the beginning of the process, providing borrowers with greater certainty regarding their long-term mortgage payments.

  5. Flexible Terms: These loans often offer flexible terms to accommodate the unique needs of borrowers and construction projects, including adjustable-rate and fixed-rate options.

  6. Qualification Process: Borrowers typically need to meet certain eligibility criteria, including credit score requirements and income verification, similar to traditional mortgage loans.

In summary, a one-time close construction loan simplifies the financing process for building a new home or property by combining the construction loan and permanent mortgage into a single transaction, saving time, paperwork, and potential fees for borrowers.

Build with Confidence: Our Ground-Up Construction Loan

Ready to break ground? Our Ground-Up Construction Loan is tailor-made for experienced developers and builders who are passionate about creating exceptional homes, including spec home projects. Whether you're starting a new project or need financing for a project already underway, we have the expertise and financial solutions to bring your vision to life.

Why Choose Our Loan:

  • Designed for Ground-Up Construction: Our loan is specifically structured to support the entire construction process, from initial site preparation to the final touches, ensuring your project progresses smoothly and efficiently.

  • Flexible Mid-Construction Financing: If your project is already in progress, we offer seamless mid-construction financing options to bridge the gap and ensure timely completion.

  • Variety of Property Types: We finance a wide range of residential projects, including single-family homes, multi-family residences (up to 4 units), townhomes, condos, and spec homes.

  • Experience Advantage: For seasoned developers with a proven track record of 3+ successful projects, we offer higher leverage options to maximize your financial flexibility.

  • International Investors Welcome: We welcome applications from foreign nationals seeking to invest in U.S. real estate development.

  • Loan Terms Tailored to You: Choose between a 12 or 24-month loan term, depending on the scope and timeline of your construction project.

Key Loan Features:

  • Loan Amounts: We offer loans ranging from $50,000 to $5,000,000, accommodating a variety of project sizes and budgets.

  • Loan to Cost (LTC): Up to 85% of total project costs, including land acquisition, construction materials, labor, and permits.

  • Loan to After Repair Value (ARV): Up to 75% of the property's estimated value upon completion, giving you peace of mind and investment security.

  • LTC Catch-Up Draw: Access up to 75% of your approved loan amount upfront upon approval of required plans and permits.

Ready to Get Started?

Our experienced team is ready to discuss your specific project needs and goals. Contact us today for a personalized consultation and discover how our Ground-Up Construction Loan can help you turn your building plans into reality.

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