Texas New Construction Loans
TX Hard Money New Construction Loans
Asset Based Lending offers experienced real estate investors hard money loans for new construction projects. Builders and developers can utilize these 12-month interest-only bridge loans to finance up to 85% of purchase and 100% of construction costs for their real estate investment. ABL provides reliable hard money loans for new construction, allowing investors the ability to scale their business and take advantage of the hot real estate markets. We approve loans as fast as 24 hours and can close deals in two days with the appropriate paperwork, making us the fastest new construction loans in Texas available.
ABL has over 12 years of lending experience and over $1 Billion in loan origination, making us experts in the hard money lending process. As investors ourselves, we understand the ins and outs of real estate investing, using flexible underwriting to provide the best possible loans for new construction. Our construction loan rates in Texas start as low as 9.99% and can provide loan amounts ranging from $100K to $3.5M. As a direct hard money lender in full control of our capital, we never charge preypament penalties so our borrowers are never punished for quickly exiting a successful project. With half of our borrowers being repeat borrowers and hundreds of verified 5-star reviews, it’s clear that ABL provides the best hard money loans for new construction.
New Construction Loans in Texas
| Experience | Credit Score Minimum | Interest Rate | Points | Advance Rate On Purchase | Advance Rate On Construction | ARV | Property Types | Pre-Pay Penalty | Extensions | Blanket Loans | Loan Size | Loan Terms |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| High | 660 | 9.99%-15% | 0-2% | Up to 70% Land Value | 100% | Up to 67.5% | Single Family, Multi Family, Mixed Use | No | Available | Yes | $100K to $3.5M | 12 Months |
Closing Speed
Underwriting Flexibility
Competitive Rates
New construction investments for experienced contractors and investors are funded at interest rates of 9.99%–15% and 0–2% points. Loan amounts range from $100K to $3.5M.
Same Day Pre-Approval. Rates Starting At 9.99%.
Texas Needs New Construction
New construction projects are on the rise in Texas thanks to low housing inventory and an influx of new permanent residents entering the state. The most effective way to fill inventory gaps is with new builds. As of February 2022 the average home sale price is $345,400 which marks a nearly 18% increase year over year. The number of homes sold during the month reached 22,950 which is a 13% increase from the previous year and highlights the fast moving market that Texas has become known for. Right now, the number of homes available for sale across Texas is down nearly 11% from the previous year, which highlights the lack of inventory that’s causing home sale prices to constantly move upward.
Even though new construction investors have an edge over fix and flip investors with the inventory issues, there’s different problems with come with new builds. With lumber prices constantly rising due to supply chain issues, its more important than ever to use effective financing to fund the construction of these new homes and to maximize your potential profits. Asset Based Lending provides hard money loans for new construction that builders and developers can use to reliably fund their next investment. If you’re ready to be approved for the best Texas new construction loans on the market, then contact us today.
How To Finance New Construction in Texas
When it comes to financing new construction investments in Texas, there aren’t too many options that are fast and reliable. Some investors would think to request financing from a bank or other large financial institution, but new construction investments are inherently risky so many banks will require intensive documentation and take several months to confirm a potential loan. These long time frames with many hoops to jump through make them inhibitive to fast-moving investors that are looking to scale their real estate business and chain together multiple successful deals throughout a year. Other investors may choose to work with a private money lender, but the lack of guarantee and loose guidelines make them risky for borrowers that are looking for reliable financing from start to finish.
The most reliable Texas new construction loans for real estate investors come from hard money lenders. This is because hard money loans combine the best parts of a financial institution with the best parts of a private money lender. As direct lenders with full control of our capital, Asset Based Lending is a private money lender that offers flexible underwriting to provide loans that match the specific construction project. We’re also a trustworthy company that guarantee funding for the loans we close, with a fully in-house draw team that ensures you’re reimbursed for completed work in a timely manner. By choosing a direct hard money lender like ABL, you’re setting yourself up for success with financing your new construction investment. With quick closings, flexible underwriting, and reliable draw schedules, ABL provides the best hard money loans TX has to offer.
Investors Trust ABL Texas New Construction Loans
When it comes to fast and reliable funding, Texas real estate investors know to trust Asset Based Lending. Our track record speaks for itself, with more than half of our borrowers returning for repeat business and over $1 Billion in loan origination since our company’s inception. We have fully in-house teams for the entire loan process, providing you a five-star service from start to finish. ABL approves loans as fast as 24 hours and closes loans a quickly as two days with the appropriate paperwork. This doc-light approach to new construction financing lets real estate investors scale their business faster than ever and with zero headaches.
With the Texas real estate markets continuing to thrive and low housing inventory plaguing the most popular markets, now is the perfect time for builders and developers to take advantage of outside financing. By using hard money capital to fund their projects, they can move quickly and use the current market conditions in their favor. Asset Based Lending insists on a transparent lending process with no prepayment penalties or hidden fees, so you keep more of your money. Contact us today to be approved for your TX new construction loan.
