Why Partner With a Seasoned Construction Lender?

Alleviate risks associated with construction loans by partnering with an experienced lender.

Construction projects can be risky to venture into, however, having a knowledgeable loan officer and lender who understands the complications and provides a meticulous review of the loan and disbursement process can alleviate some of the risks and ensure a smooth end to end process.

In order for a lender to qualify a contractor, they must look at an abundance of data, such as the contractor’s references, financials, plans, specs, budget, and previously completed projects, in order to prove that the contractor can complete the project. The extensive analysis performed by the lender is necessary considering the risk that they will take on when funding a construction project.

Ensuring that the lender undergoes a thorough process is vital for all parties involved (investor, project manager, general contractor, sub-contractors, inspectors, and loan administration companies). Once the lender’s underwriter completes the loan analysis and approves the contractor for a loan, the builder is then able to close the loan, and begin construction. Most construction loans work off of a reimbursement schedule, meaning, once the work is complete, and evidenced by an inspection, the lender will reimburse the builder for cost incurred. The initial draw can reimburse the builder for costs spent in preparing the lot and making it shovel ready. There is a lot more to ensuring a seamless construction loan, but finding a reliable, and experienced construction lender will simplify the process and is a good place to start.

CALCAP Lending offers ground up construction, and renovation for residential business purpose loans, with a focus on 1 to 10 units, exceptions allowed on a case by case basis.

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About CALCAP Lending

A division of CALCAP Advisors, CALCAP Lending benefits from the expertise of a seasoned team of professionals with extensive, successful track-records covering a variety of disciplines and leading large, nationally-recognized institutions. A private money direct lender, CALCAP Lending provides short to mid-term financing for property investors and businesses looking to purchase, refinance, renovate, and construct residential or commercial properties.

Lending FAQs

You've got questions, we've got answers.

What is private money lending?

Private money lending is a collateral-based lending strategy that is often associated with shorter terms and more attractive features. A private money loan offers more flexibility than a conventional mortgage or bank loan.

How does a private money loan work?

Private money lenders provide financing using money from private entities. Private money loans often work as bridges to help investors gather funds to achieve their short term real estate goals, but long term, permanent options may also provide.

Why would I choose a private money lender?

There are many advantages to using a private money lender for your real estate investments! Private money lenders can be more lenient when it comes to borrower credit issues, often there are no prepayment penalties, you can leverage your cash to buy multiple properties, and private money loans are quicker when compared with institutional loans.

Can I get prequalified for a loan?

CALCAP has a responsive loan team who are able to prequalify you. Contact a loan specialist at 833.816.5580 to get started.

How long does the lending process take?

Private money lending can be a quick and painless process. From start to finish, 30 days is common, however, turn around times can be as short as 10 business days.

Can I still be approved for a loan if I have bad credit?

Generally yes, we understand that people have temporary financial issues that come up, and we want to work with you to help you rise up financially to a better place. Offsets to credit concerns may include experience as a real estate investor, good cash reserves, and/or larger down payments.

I am a broker or investor, how can I work with CALCAP?

Business is built on relationships. Ours is no different. CALCAP Value and Preferred Partners receive exclusive rates and services. For more details and to submit your application, visit our partners page.

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