Ground-Up Construction Loans
Build new from raw land — financed in draws, paid as you go.
Construction financing for investor builders, spec developers, and build-to-rent operators. Land plus hard and soft costs in one loan, interest-only on what you've drawn, with funds released at construction milestones.
NMLS #2793908Based in MI · Licensed in FL, NCInvestor loans in 38 states
The basics
One loan, drawn in stages, designed around how you actually build.
A ground-up construction loan finances the full project — land, hard costs (foundation, framing, mechanicals, finishes), soft costs (permits, plans, fees), and a contingency reserve. Money releases in scheduled draws as each phase passes inspection. You only pay interest on the balance that's actually been drawn, so the early-stage payments stay small and grow as the build progresses.
Most investors exit by selling the finished property, refinancing into a long-term DSCR rental loan (the build-to-rent path), or rolling into a construction-to-permanent product. The loan is structured around your project's scope, your builder's experience, and the realistic timeline to certificate of occupancy.
Loan terms
The numbers, plainly stated.
Industry-typical ranges for 2026. Your final terms depend on credit, experience, and the deal — Max will lock your specific quote during pre-approval.
Priced from your experience, credit, and the project. Experienced builders with completed projects see the lower end of the range.
Charged on the total loan commitment, paid at close.
On total project cost (land + hard + soft). Experienced builders qualify for the top of the range; first-time investors typically start closer to 70%.
Total loan capped against the appraised value at completion. Protects both sides if the market shifts.
9–12 months for a standard SFR build, 18–24 months for multi-unit or more complex scope. Built around your construction schedule.
Payments are calculated only on the drawn balance — small at the start, growing as draws release. Cash-flow friendly.
Who it’s for
Built for investors at every stage.
First-time investor builder
Bringing a great lot, a great GC, and a clear plan. We'll structure the loan around the GC's track record while you learn the ropes.
- Licensed general contractor with a verifiable track record required
- GC's experience effectively becomes your experience for underwriting
- Clear scope, signed plans, and approved permits unlock funding
Experienced builder / GC
Three or more completed builds (or two plus a major rehab) unlocks the best leverage and the most flexible terms.
- Higher LTC and lower interest reserves on subsequent projects
- Streamlined re-approval — once we know your shop, deals move faster
- Owner-builder structures available with the right track record
Build-to-rent / spec developer
Building inventory to lease up or sell. We'll line up the construction loan and the take-out so capital recycles cleanly.
- Single-family, attached, and small multifamily projects
- Construction-to-DSCR exit pre-coordinated for BTR portfolios
- Volume-based pricing for repeat operators
The process
How a deal flows, end to end.
- 1
Pre-qualify
Walk through the project, the team, and the budget. We'll structure the loan and confirm the leverage you can expect.
- 2
Permits & approvals
Approved permits and final plans are required before any funds release. We'll coordinate with your GC to time it right.
- 3
Close on land + initial draw
At close the lender funds the land (or refinances yours) and an initial draw covers site work and mobilization.
- 4
Build in milestones
Foundation, framing, dry-in, mechanicals, finishes — each phase funds via a draw request and inspection sign-off.
- 5
C/O and exit
Certificate of occupancy unlocks the take-out: sell the property, refinance into a DSCR rental, or transition to permanent financing.
Where Max lends
Three home markets. One playbook.
Max is based in Michigan and licensed for residential lending in Florida and North Carolina, with deep market knowledge in all three. Investment-property loans are available across 38 states — ask about yours.
MichiganMI
- Detroit's construction renaissance creating opportunity for spec and BTR builders
- Hot submarkets near 3% vacancy through 2026 (Pontiac–Waterford–Auburn Hills, SW Wayne County)
- Strong BRRRR-style exits supported by stable conventional refi rates
FloridaFL
- Tampa alone produced ~31.6% of the state's new residential permits in early 2026
- Post-2024 building code (impact windows, tie-downs, secondary water barrier) lowers insurance vs older stock
- Builders risk policies typically carry a 2–5% named-storm deductible — we'll help you size it correctly
North CarolinaNC
- New construction is one of the strongest 2026 strategies as inbound migration continues
- Charlotte and Raleigh tech-corridor demand drives consistent absorption of new SFR and BTR product
- Asheville and the Triangle add depth across price points
What you’ll need
A quick readiness check.
Have these in hand before pre-approval and the process moves fast. Missing something? Max will tell you exactly what’s needed and when.
- Land contract or owned parcel with title clear of issues
- Licensed general contractor (required for first-time investor builders)
- Final plans, scope, and a line-item construction budget
- Approved permits (required before draws release; not required to start the application)
- Liquidity: $15K or 25% of construction budget — whichever is greater — plus closing costs
- 20–25% equity contribution (down payment on total project cost)
- Builder résumé / past projects if acting as your own GC
FAQ
Common questions, straight answers.
Bringing a build to the table?
Send Max your scope and your numbers. We'll structure the loan, line up the draws, and pre-coordinate your exit financing if you're holding for rent.