New Construction Loans in Florida

From the foundation up, we’re by your side!

Ready to kick off your new construction project? BNB Lending offers fast, flexible financing with 1 to 2-year interest-only terms to help you get the job done efficiently. We provide funding for residential properties (1 to 4 units), multi-family units, condos, apartment complexes, commercial buildings, and hotel construction projects. Our financing covers up to 85% of the purchase price and 100% of vertical construction costs, ensuring your project is ready for rent or sale. Plus, with no prepayment penalties, you can refinance or sell whenever you're ready. Our quick closing process means you can get quoted and funded in as little as 14 days.

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How to qualify

To obtain a quote, we will need the following information:

Property Value and

 Purchase Price


Down Payment

Amount


Credit Score

 Asset Types

  • Single Family Homes
  • Townhomes
  • Condos
  • 2 - 4 Units (Duplex, Triplex, Quadplex)
  • Multi-Family: 5 - 8 Units
  • Mixed-Use: 2 - 8 Units
  • Multi-Family: 9+ Unit


Loan Terms

  • Loan Sizes: $100k up to $3.5 Million (Larger loan sizes available on a case by case basis)
  • Purchase LTV: Up to 85%
  • Rate & Term Refinance LTV: Up to 80% 
  • Cash Out Refinance LTV: Up to 80%
  • Amortization: 30 Year % 40 Year Amortization Options Available
  • Term Lengths: 5/6 ARMs, 7/6 ARMs, 10 Year Interest Only, 30 Year Fixed & 40 Year Fixed
  • Floor Rate: 5.50% (subject to change daily due to market volatility)
  • Full Recourse with personal guarantee required for all borrowers with majority ownership (typically 20%+ or 25%+ if closing in an Entity)
  • DSCR Requirement: 1.00x or greater depending on loan size and property type. Sub-1.00x DSCR and NO DSCR options available.
  • Vesting: Lending to Individuals, LLCs, and Corporations. Trusts Allowable on a Case by Case Basis.
  • Average Time to Close: 14 to 35 days

Wondering if you qualify for investment property financing in your area?


We offer lending services in all 50 states!

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Frequently Asked Questions

What are the requirements for getting a construction loan?

To qualify for a construction loan, borrowers typically need a licensed builder, approved permits, architectural plans, and a detailed budget. A down payment of 15% to 20% is common, and many lenders prefer a credit score of at least 660. In some cases, strong liquidity or property value may offset lower credit. Most programs require you to own the land or have a signed purchase agreement. Our lending team also considers builder experience and comparable completed projects. These loans are disbursed in stages and often include interest-only payments. With a clear exit strategy, qualifying becomes even easier.

How do home construction loans differ from traditional financing options?

Home construction loans are released in phases, not as a lump sum like traditional mortgages. This staged funding aligns with major construction milestones such as foundation, framing, and final inspection. During construction, borrowers typically make interest-only payments, which helps preserve cash flow. Traditional loans, on the other hand, start repayment immediately and are based on a fully completed home. Construction loans also emphasize project viability—plans, permits, builder qualifications—while traditional loans focus more on income and debt ratios. For builders and investors, construction financing offers the flexibility needed to complete a project before refinancing or selling.

What credit score is needed to qualify for new construction financing?

A credit score of 660 is typically required to qualify for new construction financing. That said, our lending team evaluates more than just your score—we also assess property value, borrower liquidity, builder experience, and exit strategy. Strong projects with solid comps or a history of real estate success may qualify with lower credit in certain cases. Since these loans are asset-based, financial documentation is lighter than traditional mortgages. Higher credit scores often allow for lower rates and better terms. Regardless of score, demonstrating you can finish the project on time and on budget is essential for approval.

Are construction loans available to small business owners or just individuals?

Construction loans are available to both individuals and small business owners. Many borrowers choose to take out a loan under their LLC or corporation, especially when building investment properties. We lend to entities as long as there’s a personal guarantor with significant ownership, typically 20% or more. This flexibility allows self-employed investors to bypass strict W-2 requirements and focus instead on the merits of the project. Documentation needs vary, but a strong project budget, timeline, and builder credentials are key. Whether you operate personally or through a business, our loan programs are built to support active real estate development.

What is the typical loan rate for construction financing?

Construction loan rates vary depending on credit, experience, and project type, but most programs start at a floor rate around 5.50%. These are typically interest-only rates during the build phase, with full repayment starting after the property is stabilized or refinanced. Riskier projects or less experienced borrowers may see slightly higher rates. Unlike traditional fixed-rate mortgages, construction loan rates are often tied to short-term market trends and adjusted accordingly. Once construction is complete, many borrowers refinance into a DSCR loan or long-term mortgage. Transparent terms, predictable draw schedules, and no prepayment penalties add value beyond just the base rate.

What types of loans are best for new construction projects in Florida?

The best loans for new construction projects in Florida are staged-draw programs that offer interest-only payments during the build phase. These loans typically fund up to 85% of the land purchase and 100% of vertical construction costs. Florida investors benefit from this structure because it aligns with builder timelines and project milestones. At BNB Lending, we support a variety of builds—from single-family homes and duplexes to multifamily and mixed-use properties. Short-term financing is ideal when paired with a refinance strategy into a DSCR or fixed-rate mortgage. The best loan depends on your exit plan, builder strength, and investment goals.

Explore new construction loans and other STR loans in neighboring states like Georgia and Alabama to grow your presence beyond Florida.