Construction Loans for Investors & Builders to 90% LTC
From custom homes and residential subdivisions to multifamily developments and repositioning projects, Hawk Funding Group provides construction loans, new construction loans, and commercial construction financing with up to 90% LTC and fast draw funding.
Capital From Dirt to Completion(Certificate of Occupancy)
Construction financing provides short-term capital for ground-up developments, major renovations, and repositioning projects. Unlike traditional mortgages, new construction loans, home construction loans, and investor-focused funding release capital through milestone-based draw schedules.
In competitive markets, speed and execution matter. Hawk Funding Group compares multiple construction lenders to help investors secure flexible draw schedules, strong leverage, and efficient funding structures tailored to each project’s timeline and goals.
Many commercial construction loans are structured as interest-only during the build phase, helping preserve liquidity while construction progresses. Once completed, projects can transition into long-term financing through customized construction-to-permanent financing solutions.
A developer finances ground-up luxury construction through Hawk Funding Group with staged draw funding. The total project cost is $4,850,000 with a $4,365,000 loan at 90% LTC and $6,700,000 ARV. The interest rate is 9.5% over an 18-month term. The exit strategy is sale or refinance to DSCR financing.
Construction Loan Terms
- Up to 90% LTC, 75% LTARV
- 12-36 Month Terms
- Interest Only Payments
- Draw Funding in 1–3 Days
- Loan Amounts From $500K
- Rates Starting Around 9%+
Other Loan Programs
Construction Loan Types We Offer
Ground up construction loans for custom homes, spec builds, and tear-down rebuilds. Flexible residential construction loans for builders and investors.
Financing for lot development and subdivision infrastructure. Land and construction loans help fund projects as lots are developed and sold.
Multifamily construction loans for apartments, mixed-use projects, and rental communities. Transition into permanent financing after stabilization.
New construction financing for build-to-rent communities from groundbreaking through stabilization, with long-term rental financing options available.
Core Construction Loan Features
Our construction lenders evaluate project plans, budgets, experience, and completed value rather than relying primarily on tax returns or traditional income documentation.
Digital draw management helps process inspections and fund requests in as little as 1–3 business days, keeping projects moving without unnecessary delays.
Access up to 90% LTC through flexible construction financing programs designed for developers, builders, and real estate investors.
Many programs include built-in interest reserves that help reduce out-of-pocket carrying costs throughout the construction phase.
Strategic construction-to-permanent financing options help transition completed projects into long-term financing after stabilization.
Access commercial construction financing, residential construction loans, and new construction financing through our nationwide lender network.
Ready to Fund Your Next Build?
Tell us about your project, goals, and timeline and our team will get to work immediately. Depending on the deal details, we’ll respond with construction loan options tailored to your exact scenario within 1-3 business days so you can compare your choices and move forward with confidence.
Get Answers Before You Apply
How do construction loans work?
Construction loans are short-term, interest-only loans that fund building projects through a draw schedule. As each milestone is completed and inspected, the lender disburses the next draw — covering costs for permits, site prep, framing, mechanical, finishes, and more. Borrowers pay interest only on drawn funds during construction, keeping cash flow manageable. At project completion, the construction loan is either paid off or
converted to permanent financing. Hawk matches your project to the right construction loan lenders — comparing draw schedules, interest rates, and LTC limits across our expansive lender network to save you time and money. Use our construction finance calculator to estimate your loan amount.
What is a construction-to-permanent loan?
A construction-to-permanent loan (construction perm loan) combines the construction phase and long-term mortgage into a single closing. During the build, it functions as an interest-only draw facility. Once the certificate of occupancy is issued and the property stabilizes, the loan converts automatically to a permanent amortizing mortgage — saving you from paying two sets of closing costs. Construction perm loans are available for single-family, multifamily, and build-to-rent projects. This is one of the most searched and most underutilized products in real estate financing — Hawk has multiple lenders offering competitive construction-to-permanent rates.
What down payment is required for a construction loan?
Most construction loans require 10–25% down (equity contribution), since construction loan lenders cap at 75–90% LTC (Loan-to-Cost). If you already own the land free-and-clear, that land value counts as part of your required equity. Down payment requirements for construction loans vary by project type and borrower experience: single-family new home construction typically needs less equity than large multifamily ground-up developments. Hawk structures your deal to minimize required equity while meeting lender construction loan criteria.
What are construction loan requirements?
Construction loan requirements focus on the project rather than personal income. Lenders evaluate: (1) full architectural plans and specifications, (2) detailed hard and soft cost budget, (3) builder/GC credentials and track record, (4) permits and entitlements, (5) project timeline, and (6) as-complete appraisal value. Construction loan criteria also include the borrower's real estate experience — first-time builders may need a more experienced GC or a lower LTC. Hawk helps you prepare a complete documentation package meeting the construction loan criteria of multiple lenders simultaneously.
Can I get a construction loan for a build-to-rent project?
Yes. Build-to-rent (BTR) is one of the fastest-growing investment strategies and Hawk specializes in ground-up construction loans for investors building single-family and multifamily rental communities. New construction loans for investors in the BTR space are available with draw schedules structured for rental portfolio development. At project completion and stabilization, Hawk transitions the construction loan into a long-term DSCR rental loan — creating a seamless path from ground-break to long-term hold. Ask about our construction-to-DSCR conversion program for build-to-rent investors.
What is the difference between LTC and LTV in construction loans?
LTC (Loan-to-Cost) is the primary metric for construction loans — the loan amount as a percentage of the total project cost (land + hard + soft costs). LTV (Loan-to-Value) compares the loan to the current or completed value. Most construction lenders underwrite to 80–90% LTC but will cap the loan at 65–75% of the "as-complete" value to ensure there's equity in the deal from day one.