Everyone has a vision of their perfect home, but finding it already on the market may be a challenge. That’s where new construction loans come into play! With so many styles and features from which to choose, most people find that they have to compromise on something when they buy a house. Developers who secure new construction loans can help future homeowners build their dream homes to their exact specifications. No need to compromise on the number of bedrooms, the attached garage, or the front porch. With a new construction loan and the world as your oyster, your clients can have it all.
Laying the Foundation: What a New Construction Loan Really Means
While there are several different types of home building loans, new construction loans deal with ground-up builds. This form of specialty financing is designed to cover the construction period of single-family units.
New construction loans provide short-term funding that allows real estate investors and developers to finance the building process from start to finish. Unlike traditional mortgages that fund a finished property, construction loans release funds in stages based on project milestones, such as laying the foundation, framing, or roofing. This flexible draw schedule helps manage cash flow and ensures timely progress.
Your Project, Our Backing: What We Offer
InstaLend’s new construction loans last 12 months. The loan amount is $50,000+ and covers single-family properties ranging from one to four units. Borrowers must be licensed General Contractors or have prior experience with new construction. There are also no prepayment penalties if you choose to pay back your loan earlier. Once the new construction is complete, owners can sell the property or turn it into an income-generating rental property.
We structure our loans with investors in mind. Whether you're planning to build and sell for profit or create a passive income stream through rentals, our financing adapts to your exit strategy. Loan-to-cost ratios are competitive, and funds are disbursed quickly to help keep your project moving.
New Construction Loan Features at a Glance
- Loan Terms: 12-month initial term with options to extend
- Loan Amounts: Starting at $50,000 and scaling to suit large builds
- Eligible Properties: 1–4 unit single-family homes
- Interest Rates: Competitive, asset-based pricing
- Draw Schedule: Funds released in stages as construction progresses
- No Prepayment Penalty: Pay off your loan early without fees
- Flexible Approval: Focused on property value and borrower experience, not credit score alone
What Makes InstaLend Different?
- Fast Funding: Pre-approvals within 24–48 hours
- Transparent Terms: No hidden fees or surprises
- Property-Focused: Asset-based lending that looks beyond your credit score
- Nationwide Reach: Lending available across major U.S. markets
- Investor-Centric: We understand your business because we work with investors every day**
One of the major benefits of working with InstaLend is that all of our loans are asset-based or property-based. This simplifies our loan process, making it easier, more flexible, and less stringent than traditional loans. We require neither upfront fees to process your loan application nor prepayment fees if you choose to repay the loan earlier.
More Than Just Construction Loans
In addition to new construction loans, InstaLend also offer several other loan programs including fix and flip, rental loans, and bridge loans. Our rates are competitive and our programs are customizable, meaning we’ll be able to support any real estate investment opportunity you are interested in.
Our goal is to help you find a loan that suits your specific real estate investment needs. Whether it’s your first real estate investment or if you’ve done this many times before, InstaLend is here to help with the fast lending you need.
Here’s a breakdown of our other popular loan offerings:
- Fix & Flip Loans: Ideal for short-term renovations with quick turnarounds
- Bridge Loans: For investors needing temporary capital while transitioning between projects
- Rental Loans: For long-term buy-and-hold strategies, including DSCR-based lending
- Multifamily Loans: Tailored for duplexes, triplexes, and four-unit buildings
