Question 1

How does a construction loan work in Gridley?

Accepted Answer

The lender funds your build in stages called draws. After completion, the loan converts to a standard mortgage.

Question 2

Can I be my own general contractor?

Accepted Answer

Some lenders allow owner-builders, but most require a licensed GC. Expect stricter scrutiny and fewer program options if you self-build.

Question 3

What credit score do I need to qualify?

Accepted Answer

Most programs start at 680. Scores below that exist but come with higher rates and lower loan-to-value limits.

Question 4

How long does a construction loan last?

Accepted Answer

Typical construction terms run 12 months. Extensions exist but usually cost extra and require lender approval.

Question 5

Do I pay the full mortgage during construction?

Accepted Answer

No. You pay interest only on funds drawn so far. Full payments start when the loan converts to permanent financing.

Question 6

Does the rural location in Butte County affect approval?

Accepted Answer

It can. Some lenders avoid rural parcels or low-population markets. That's why wholesale access matters — we find lenders who fund Gridley builds.

Construction Loans in Gridley, CA — Build It Right