Ground-Up Construction Financing
Financing for building new residential or mixed-use property, structured around land, hard costs, soft costs, and draws.
Program parameters are confirmed for your scenario. Nothing here is an approval or commitment to lend.
Ground-up construction is a project finance conversation. Land (owned or being acquired), hard costs, soft costs, contingency, the construction schedule, and the completed value all interact.
Funds are typically released in draws as construction progresses, so the interest cost depends on how the schedule actually runs — not just on the loan amount. Our construction analyzer models draw interest and distinguishes land equity from cash contributed.
We will walk the budget with you line by line, because a thin contingency is the most common reason a good project runs into trouble.
Who may find it useful
- Builders and developers
- Owners building on land they already hold
- Investors pursuing a ground-up residential project
- Families building a long-term hold
Typical financing goals
- Finance land and construction together
- Match draws to a realistic construction schedule
- Size an interest reserve that reflects the actual timeline
Key considerations
- Plans, permits, and a detailed budget are usually required before closing
- Interest accrues on drawn funds, so delays increase cost
- Contingency is a budget line, not a luxury
- Completed value assumptions should be supported by comparable sales
Information to gather
- Land cost or current land value and any existing liens
- Approved plans, permits, and a contractor bid
- Line-item construction budget with a contingency
- Construction schedule and draw expectations
Frequently asked
More in Build & Renovate
Thinking about ground-up construction?
Share the property and your goal. We will confirm what may be available and what the file would need.
Illustrative tools and scenario review only. Not a rate quote, pre-approval, or commitment to lend.