Question 1

How does a construction loan work in Highland?

Accepted Answer

Funds are released in draws as construction milestones are met. You pay interest only during the build, then convert to a permanent mortgage at completion.

Question 2

Can I use a construction loan to add an ADU?

Accepted Answer

Yes. Major renovations and ADU builds can qualify. Your lender will want plans, permits, and a licensed contractor before approving.

Question 3

What credit score do I need to qualify?

Accepted Answer

Most lenders require at least 680. Some programs go lower, but expect stricter terms. Rates vary by borrower profile and market conditions.

Question 4

How long do I have to complete the build?

Accepted Answer

Most construction loans allow 12 months. San Bernardino County permitting delays can eat into that — plan your timeline conservatively.

Question 5

What is a one-time-close construction loan?

Accepted Answer

It combines your construction loan and permanent mortgage into one closing. You avoid a second appraisal and a second set of closing costs.

Question 6

Do I need to own the land first?

Accepted Answer

Not always. Some programs let you finance land and construction together. Confirm lot ownership requirements with your lender before moving forward.

Construction Loans in Highland, CA — Build What You Can't Find