NEW CONSTRUCTION LOANS

With housing demand nationwide going up, Coastal Capital is able to provide a special loan product that caters to the needs of builders and developers. Our team of dedicated real estate professionals understand residential new construction and can assist from acquisition and proper permitting to construction and outsale.

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Coastal Capital Investments' new construction loans provide borrowers:

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• Financing for land purchase and construction

• Designed for buildable, shovel-ready lots, tear down properties and infill development 

• Initial Loan Amount: Up to 75% of the As-Is Value

• Maximum Loan Amount: Up to 75% of the After-Repair Value; Up to 90% Total Loan-to-Cost

• Collateral: Non-Owner Occupied Single-Family Properties; Condos; Townhomes

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FAQ:

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Can a new construction loan be used to acquire land?

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Absolutely. Our new construction loan is specifically geared for borrowers that need funding for both land acquisition and construction. 

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Do you consider New Construction loans riskier than your other loan products?

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Yes. More planning by the borrower typically goes into new construction loan projects than you typical fix & flip projects since there is no existing real estate asset already on site or on land. When making a new construction loan, Coastal Capital must take into consideration all of your budget plans, permits and exit strategy during the underwriting process. Previous real estate experience is typically critical to the success of a new construction project. 

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How long does it take to get approved for a New Construction Loan?

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As with any other real estate deal, we understand the need for speed. If you provide us with 1) a completed online application, 2) 2-months of bank statements, 3) corporate entity documents, 4) your exit strategy, and 5) your previous real estate experience, we can typically get you approved in as little as 48 hours.

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How many properties can I use a new construction loan for?

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You can use our new construction loans for one single-family home, multiple detached single-family homes, condos or townhomes.

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How long do I have to pay off my new construction loan?

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We provide borrowers with ample time to pay back their loan. This is why our typical term ranges from 12 to 24 months. Since we review each loan request carefully, we typically expect all new construction projects to be completed within 24 months. This extended time allows for borrowers to deal with an unforseen issues in constructions such as weather-related delays, material or contractor issues.

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