Construction Financing for Real Estate Investors
Fund ground-up construction, major renovations, and new development projects with flexible draw schedules and competitive terms.
What Is Construction Financing?
Construction financing provides capital for building new residential or commercial investment properties from the ground up. These loans typically feature interest-only payments during the build phase, with draws released as construction milestones are completed. Once the project is finished, borrowers can refinance into a permanent loan or sell the property.
Construction Loan Program Overview
Loan Amount
$150K – $5M+
Loan Term
12 – 24 months (construction phase)
Loan-to-Cost
Up to 85% LTC
Property Types
SFR, multifamily, townhomes, mixed-use
Credit Requirements
Typically 680+ minimum FICO
Draw Schedule
Milestone-based disbursements
Who Is Construction Financing For?
Ground-Up Builders
Investors building new single-family homes, duplexes, or small multifamily properties for sale or rental income.
Developers
Real estate developers building townhome communities, mixed-use projects, or multi-lot subdivisions.
Major Renovation Investors
Investors undertaking gut renovations or additions that go beyond typical fix-and-flip scope and require phased funding.
Common Uses for Construction Financing
- Ground-up single-family or multifamily construction
- Spec home building for resale
- Build-to-rent residential projects
- Townhome and subdivision development
- Major structural renovations and additions
- Tear-down and rebuild projects
Benefits of Construction Financing Through FAAS Funding
Milestone-Based Draws
Funds released as construction progresses, keeping costs aligned with project completion.
Interest-Only During Build
Pay interest only on funds drawn, preserving capital during the construction phase.
Flexible Exit Strategies
Refinance into a DSCR loan for long-term hold or sell upon completion.
Simple Process
Submit Your Request
Tell us about your construction project and financing needs.
Scenario Review
We evaluate the project scope, budget, and timeline.
Upload Documents
Submit plans, permits, budget, and entity documents.
Get Funded
Close and begin drawing funds as milestones are met.
Ready to Finance Your Next Construction Project?
Submit your scenario and get matched with the right construction financing solution.
Explore More: All Programs • Bridge Loans • Fix & Flip • DSCR Loans • Investor Tools
FAAS Funding is not a bank or direct lender. All loan programs are subject to borrower and property qualification. NMLS #2484887.