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Shafter sits in Kern County with land still available at prices that make building a real option. That's rare in California.
Construction loans let you finance the build, then roll into a permanent mortgage. One process, one closing in most cases.
680+
Min Credit Score
20–25%
Down Payment
12–18 months
Loan Term
Required
Builder Approval
Interest-only draws
During Build
Construction Loans in Shafter
Most lenders want a 680+ credit score for construction loans. Some go lower, but your rate takes a real hit below that.
Expect a 20-25% down payment. Lenders see construction as higher risk — they want skin in the game from day one.
Local decision guide
Use this guide to connect construction loans eligibility, lender expectations, and local market factors before comparing payment options in Shafter.
Shafter sits in Kern County with land still available at prices that make building a real option. That's rare in California.
Construction loans let you finance the build, then roll into a permanent mortgage. One process, one closing in most cases.
Most lenders want a 680+ credit score for construction loans. Some go lower, but your rate takes a real hit below that.
Not every lender does construction loans. Most big retail banks have pulled back hard from this product.
We work with 200+ wholesale lenders. Several specialize in construction-to-permanent financing in Kern County markets like Shafter.
The builder relationship is everything on these loans. Your lender will vet your contractor before they approve anything.
Draw schedules matter more than most borrowers realize. Funds release in stages as construction hits milestones — plan your cash flow accordingly.
Hard money loans move faster but cost more. Construction loans from conventional lenders run cheaper on rate but require more documentation.
Bridge loans work if you own land already and need short-term build financing. Construction-to-perm is usually the cleaner exit.
Shafter's agricultural roots mean some parcels carry zoning or water rights issues. Sort those out before you apply — lenders will flag them.
Kern County permit timelines vary. Build delays push your rate lock and can trigger extension fees. Factor that into your timeline.
Some lenders allow it, but the land must meet residential use requirements. Get zoning confirmed before you apply.
You fund the build with short-term financing, then convert to a standard mortgage at completion. Many lenders do this in one closing.
Yes — usually interest-only on drawn funds. Full mortgage payments start after the loan converts to permanent financing.
Overruns come out of pocket. Lenders won't increase your loan mid-build. Always budget a 10% contingency before you start.
Typically 12 months. Some lenders offer 18-month terms. Extensions are possible but usually cost extra in fees.