A single-close construction loan means that the loan closes only once, before construction begins. After completion, the loan automatically transitions into permanent financing, avoiding the need for additional closings, fees, or appraisals.

Payments are not required during the construction period. Interest accrues only on the amount you have drawn, and regular principal and interest payments begin after construction is completed and the home is ready for occupancy.

Advance draws allow borrowers to access loan funds upfront to pay for building materials or components that must be ordered in advance, ensuring timely project completion and consistent cash flow management.

Loan-to-Cost refers to the maximum percentage of the total project cost the loan can cover. A 100% LTC means your loan could potentially cover the entire project cost, based on eligibility and underwriting criteria, reducing your upfront cash requirement.

Owner-builder financing allows borrowers to manage their own construction projects without hiring a general contractor. Eligibility typically requires demonstrating sufficient knowledge or experience, adequate financial stability, and compliance with lender guidelines.