If you're planning to build your new home from the ground up, a construction loan can provide the financing you need to get started. With flexible terms and funding options, you can focus on creating the perfect space for you and your family.

A construction home loan is a short-term, interest-only financing option designed to cover the cost of building a new home (or making substantial renovations) before it’s ready for permanent occupancy. Unlike a traditional mortgage, which is secured by a completed structure, a construction loan advances funds in stages—often called “draws”—as the builder meets predefined milestones (for example, completing the foundation, framing, and roofing). During the build phase, borrowers typically pay only interest on the amounts disbursed; once construction is finished, the loan either converts automatically into a permanent mortgage (a “construction-to-permanent” loan) or requires a separate closing for a traditional mortgage (“stand-alone” construction loan). Qualification depends on factors such as the borrower’s creditworthiness, the project’s budget and timeline, and detailed plans and permits for the construction. Because construction loans carry more risk for lenders—given uncertainties in cost overruns and completion—they often feature higher interest rates and stricter underwriting than conventional home mortgages.

We've been helping customers afford the home of their dreams for many years and we love what we do.

Company NMLS: 181106

Tony Baca | NMLS #949946 | Barrett Financial Group, L.L.C. | NMLS #181106 | 8485 W Sunset Rd Suite 202, Las Vegas, Nevada 89113 | LA | NV 5091 |  Equal Housing Opportunity | Equal Housing Lender | This is not a commitment to lend. All loans are subject to credit approval. | NMLS Consumer Access | Visit Barrett Financial Group’s Website