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Valor Lending Group offers excellent loan programs construction loan scenarios! Check out some of our best California ground up custom home and spec home construction loans.

Custom Home Construction Loan Highlights:

Single-Close Construction Loan
4.625%* on 10/1 Year ARM (fixed 10 years).

NEW: Lending off the “as completed” appraised value six months after owning the vacant lot or house.

This single close construction loan program is also the permanent financing.

• 10/1 Year Adjustable Rate Mortgage, fixed for 10 years, adjustable for the next 20 years.
• 2% annual cap, 5% first adjustment cap, a 5% life cap over start rate, and a 2.75% margin over the 1-Year LIBOR (London Interbank Offered Rate).
• The construction period is at least 12 months, during which time the loan is interest only on the amount drawn, at the above interest rate.
• No Prepayment Penalty
• Loan Amounts:
  • 80% to a loan amount of $1,000,000
  • 75% to $1,500,000
  • 70% to $2,000,000
  • 65% to $3,000,000
• Full income and asset documentation required.  No stated income available.
• Qualify at the start rate on this 10/1 Year ARM, with 43% maximum debt to income ratio.
• Six to twenty-four months of PITI (principle, interest, taxes and insurance) required in reserve after close of escrow depending on loan amount.
• Minimum loan amount $350,000.

Note: *4.921% APR (annual percentage rate) based on loan amount of $500,000, middle credit scores of 700+, and 12 draws.

Spec Home Construction Loan Highlights

• Prime + .5% for 15 months.*
• 80% loan-to-costs when 60% loan-to-value for experienced builders/developers.
• Loan amounts to $20M–Still at 80% LTC, but may be at lower LTV for higher loan amounts.
• Generally not looking at global cash flow (similar to calculating debt ratios) as many banks do.
• We will give you currently land value after 4 to 6 years, unlike many banks who work off a hard loan-to-cost (using actual lot price).
• Reasonable fees and fund control costs.
• Quick term sheet turnaround.

Note: *The construction rate is fixed at Prime plus .5% using what Prime was when the loan funded.  Other Prime based spec construction loan rates go up when Prime goes up.

Call or email me for immediate attention to your scenario.

Valor Lending Group also offers literally every loan in the book! Check out more information on our programs below and please do not hesitate to call on me for any scenarios.  I look forward to an opportunity to demonstrate my prompt and professional service.

Recap of our Loan Products: 

1. Stated Income Loans (No Tax Returns, no W-2s, No P&L)
2. Bank Statement Income Loans (Great Bank Statement Program for business owners and self employed)
3. Hard Money Loans (As low as 20% down / minimal documentation) Fund in 7-10 days.
4. Flipper Loans (Flip a property with one of our many options)
5. Line of Credit
6. 100% Financing
7. Foreign Nationals Loans (no social security or residency required)
8. Raw Land or Lot Loans
9. Ground up Construction for spec homes, custom homes and commercial ground up.
10. 2nd-Position Loans up to $5mm
11. Investor Cash Flow Loan – No tax returns or DTI calculation! Based on subject property cash flow
12. Farms, Vineyards, Ranches and Agricultural Properties (25-30% down)
13. 10% down Jumbo’s with NO MI up to $2.5mm
14. Manufactured Housing / Mobile Homes (20% down / 620+ credit score)
15. Acreage Properties
16. Commercial Loans up to $500mm
17. 5% down Jumbo (Up to $2mm Lender paid PMI)

We also offer:

1. 10, 15, 20, 25, 30 year Fixed, Conventional Conforming Loans (under $484,350)
2. High Balance Conforming aka Super Conforming (from $484,350-$726,525)
3. Jumbo’s to $10 Million / Super low rates! / 10% down Jumbo to $3mm
4. FHA, VA, USDA
5. ARM’s
6. Reverse mortgages up to $10 Million Value
7. Refinance including Cash Out