With more than $6.9 billion in loans funded to real estate investors since 1998, Anchor Loans is the nation’s number one fix-and-flip lender.
But not all of our loans are for fix-and-flip projects. Anchor also finances new construction.
New construction financing from Anchor Loans can be used for land acquisition and ground-up construction of qualified investment properties. We can help speed up your project turnaround time with our streamlined application process and our fast, reliable funding.
What are the details of a new construction loan?
Anchor’s new construction loans are available at up to 80% loan-to-cost for terms of 6-12 months—with extension options available. While there is no maximum loan amount, the minimum amount of an Anchor new construction loan is $50,000.
With an Anchor new construction loan you’ll make monthly interest-only payments on the outstanding loan balance. For loans with construction holdbacks, interest is only paid on funds drawn. A balloon payment of the unpaid principal balance is due at the end of the term.
How do I get a new construction loan from Anchor Loans?
Sign up for an Anchor account at www.anchorloans.com in 60 seconds or less, and use Anchor’s secure borrower portal to submit a free application. An account executive will contact you to answer any questions you have about your specific construction project.
As with our fix-and-flip loan program, our new construction loans are hard money loans. That means they are asset-based loans secured by real property, so there is more flexibility with credit score and financial history.
A few essential qualifications that will help you get approved for a new construction loan:
- Although hard money loans are not credit driven, good credit has its benefits. Ask your account executive how your credit score can affect the terms of your loan.
- Loan applicants should be prepared to contribute at least 20% of the project’s total cost as a down payment, and should have adequate cash reserves for construction overages and monthly interest payments.
- Anchor Loans prefers to work with experienced investors, but each construction project is reviewed on a case-by-case basis. Prior experience with new construction or considerable fix-and-flip experience is a significant plus.
If you meet these general qualifications, you’re ready to apply. The Anchor Loans borrower application can be completed in as little as 10 minutes. Once your borrower application is approved you can submit your deal specifics, purchase contract and transaction documents. After loan documents are signed and closing details are in place, your funds will be wired within 24 hours. From start to finish, this whole process typically takes 5 to 7 days.
Fund your new construction projects with Anchor Loans
Ready to begin your new construction project? Anchor Loans will be happy to help. Learn more about new construction loans here, and start your new construction loan application today.