Texas hard money loans
New Construction Loans
New construction hard money loans for Texas builders. Our expedited draw process is flexible to meet each builder's needs, with interest only payments for the entire life of the loan.
Is this the right loan?
Best for
- Builders and investors doing ground-up or spec construction
- Projects with complete plans, specs, and a realistic budget
- Deals with permits in process or in hand
Not for
- Owner-occupied custom homes
- Projects without plans, specs, or a credible budget
- Properties outside Texas
Terms snapshot
- Rate
- Rates starting at 12%
- Points / origination
- Origination fee of 2% to 4%
- Doc fee
- $995 Document Fee
- Loan amount
- $50,000 - $1,000,000
- Term
- Loan term tailored to length of project
- Max leverage
- Up to 70% Loan to Value · Up to 90% Loan to Cost
- Property types
- Single-family spec, Multi-family, Build-to-rent, Custom investment builds
- Owner-occupied
- Not eligible - investment / non-owner-occupied only
Sample construction deal
| Lot value | $90,000 |
|---|---|
| Construction budget | $260,000 |
| Completed value | $520,000 |
| Estimated loan amount | Up to ~90% LTC / 70% of completed value |
| Borrower cash to close | Equity contribution + points + fees + reserves |
| Monthly interest estimate | Interest-only on funds drawn |
| Exit strategy | Sell the completed build, or refinance into a long-term loan once stabilized. |
Illustrative only. Not a quote or a commitment to lend.
How a deal usually moves
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Share the deal
Send the lot, plans, budget, permit status, and timeline.
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Underwriting review
We review the budget, builder experience, collateral, and Texas market fit.
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Term sheet
Term sheet outlines leverage (LTV/LTC), points, and the draw schedule.
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Title
Title review and closing coordination with your title company.
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Close
Closing and initial funding consistent with the draw schedule.
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Draws
Construction funds release as completed work is inspected and approved.
Documents we may ask for
Every deal is different. Depending on the property and how it's structured, we may ask for more than this, sometimes a lot more.
- Executed purchase contract or proof of lot ownership
- Entity formation documents
- Government-issued ID
- Plans and specifications
- Detailed construction budget
- Permit status / permits
- Builder profile / experience
- Proof of insurance (builder’s risk)
- Title company contact
- Exit strategy
Common reasons a deal may not fit
- Owner-occupied / primary residence request
- Property located outside Texas
- Unresolved title issues
- Unsupported or unrealistic ARV
- Weak or undefined exit strategy
- Insufficient documentation
- Unsupported property type
Frequently asked questions
What is a Spec Construction Loan?
Spec is short for speculative, which refers to the basis on which we lend. We lend money based on what we speculate the property to be worth after construction is finished.
How does your draw process work?
Our expedited draw process is flexible to meet each builder's needs. Construction funds release in draws against completed and inspected work. Draw fees start at $250.
What plans and documents do you need?
Complete plans and specs, a detailed line-item budget, permit status, and your builder profile. This is for investment or non-homestead property only.
Fund your next new construction deal
Send us the property and the numbers. We underwrite in-house, so we can get back to you fast.