Ground-Up Construction Loans

New Construction Funding Options for Real Estate Investors

Many Real Estate Investors are contractors and or builders who not only rehab properties, but also build properties from the ground up and need construction funding for their projects. There are also real estate investors who focus solely on new construction versus rehabbing as a way to mitigate the risk of building on top of the existing plumbing, electrical and foundation . Archer Funding offers multiple new construction funding options for new and experienced ground up construction builders. We even have programs to finance all three phases of the new construction process for residential properties from 1-4 units up to 20 units complexes. The three phases include purchasing the lot, horizontal lot development and vertical home construction.

Many lenders only offer vertical construction financing options. A few will offer lot purchase financing. But for experienced investors and builders we offer financing for all three levels of ground up new construction.

Archer Funding Ground Up New Construction Funding Options:

Program Core 1:

New Construction Funding Credit Line: $200,000 to $10,000,000 – Based on experience, liquidity and net worth.

• Minimum Credit Score: 660
• Experience: at least completed 1 fix and flip or new build in the last 3 years
• Lot Purchase: up to 75% of the purchase price
• Lot Development: No – must be developed
• Vertical Construction: up to 90% LTC SFR @ 75% of As Completed Value
• Interested Payments: Drawn Balance Only

Program 2:

New Construction Funding Experienced Builder : $500,000 to $30,000,000

• Minimum Credit Score: 660 (exceptions for experience and liquidity)
• Experience: at least 3 completed fix and flip and /or new builds (minimum of 1 completed new build)
• Lot Purchase: up to 65% of the purchase price
• Lot Development: up to 50% of horizontal development
• Vertical Construction: up to 85% LTC
• Property Type: SFR, Town Homes, Condos, townhomes, multifamily to 20 units, subdivisions
• Interested Payments: Drawn Balance Only

Archer Funding also has additional ground up new construction funding with options of 100% vertical construction the builder owns the lot.