New Construction Loans in Virginia

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.

GET A QUOTE

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?

Construction loans require you to submit plans, permits, a licensed contractor agreement, and a detailed project budget. Lenders generally look for a credit score of 660 or higher and a down payment of 15%–20%. You’ll also need to own or have a purchase contract for the land. At BNB Lending, we release funds in draws based on milestones. We review builder experience, exit strategy, and documentation quality. Well-prepared projects usually close quickly with favorable terms.

How do home construction loans differ from traditional financing options?

Home construction loans are structured to disburse funds in stages, with interest-only payments during the build. Traditional loans fund all at once and start amortizing immediately. Construction financing emphasizes builder credibility, project scope, and timing rather than income or debt-to-income ratios. Once construction is complete, borrowers typically refinance into DSCR or fixed-rate mortgage products. This approach gives builders and investors more flexibility during development and better control over capital.

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

A 660 credit score is usually the baseline for construction financing, but it’s not the only factor. Builder qualifications, project plan quality, reserves, and draw schedule also play key roles. If your credit is slightly below the standard, you may still qualify with strong liquidity and documentation. At BNB Lending, we’re focused on funding real estate projects—not just reviewing credit reports. We move fast when you’re organized and ready to build.

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

Yes—construction loans are available to business entities like LLCs and corporations, not just individuals. Most of our clients are real estate professionals building under business structures. We require a personal guarantor with 20–25% ownership. Our underwriting focuses on project feasibility and builder quality—not W-2s or tax returns. We offer flexible terms, fast closings, and draw schedules built for real estate investors—not traditional homeowners.

What is the typical loan rate for construction financing?

Construction loan rates typically start around 5.50%, with final pricing based on credit score, project type, builder history, and timeline. These loans are interest-only during construction, minimizing early-stage costs. After completion, most borrowers refinance into DSCR or long-term mortgage products. We base pricing on documentation quality and deal structure. If your team is experienced and your paperwork is clean, we can often close faster and at more favorable rates.

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

The best loans for new construction projects in Virginia are interest-only draw loans that release funds as work progresses. These are perfect for STRs in Virginia Beach, duplexes in Richmond, or infill builds in Alexandria. We finance up to 85% of land value and 100% of vertical costs. After construction, most borrowers refinance into DSCR or fixed-rate mortgage products. Our Virginia loan programs are designed for speed, flexibility, and investor alignment—so you can build with confidence and scale strategically.

Explore new construction loans and other Airbnb loans in neighboring states like Maryland , West Virginia , Kentucky, Tennessee , and North Carolina to expand your investments beyond Wisconsin.