Question 1

Can I build on raw land in Amador City with a construction loan?

Accepted Answer

Yes, but many lenders require the land to be owned free and clear or have significant equity. Raw land with no utilities adds underwriting risk.

Question 2

What is a one-time-close construction loan?

Accepted Answer

It combines the construction phase and permanent mortgage into one closing. You lock your rate once and avoid paying closing costs twice.

Question 3

How long does a construction loan term last?

Accepted Answer

Most run 12 months. Extensions are possible but cost money — build your timeline with buffer so you don't hit that deadline short.

Question 4

Do I make payments during construction?

Accepted Answer

Yes — interest-only payments on the drawn balance. Payments stay low early and grow as more funds are disbursed to your builder.

Question 5

Will rural Amador City appraisals cause problems?

Accepted Answer

They can. Limited comps in small Gold Country towns make appraisals harder. Use a lender familiar with rural California underwriting.

Question 6

Can I act as my own general contractor?

Accepted Answer

Most lenders say no. Owner-builder loans exist but are rare and come with stricter terms. Most require a licensed GC on the project.

Construction Loans in Amador City, CA