Question 1

How does a construction loan work in Montclair?

Accepted Answer

You borrow against the projected value of the finished home. Funds release in stages as construction milestones are inspected and approved.

Question 2

Can I be my own general contractor?

Accepted Answer

Most lenders say no. Owner-builder programs exist but are rare and require proof of construction experience. Expect tighter terms.

Question 3

What happens when construction is done?

Accepted Answer

The construction loan converts to a permanent mortgage. One-time close loans do this automatically, saving you a second round of closing costs.

Question 4

How long does construction loan approval take?

Accepted Answer

Plan for 30 to 60 days. Lenders review your plans, contractor credentials, and budget before issuing approval. Don't rush the prep work.

Question 5

What credit score do I need for a construction loan in San Bernardino County?

Accepted Answer

Most programs require 680 or higher. Scores below that limit your options and increase your rate. Rates vary by borrower profile and market conditions.

Question 6

Do construction loans cover land purchase too?

Accepted Answer

Some programs include land acquisition. Others require you to already own the lot. Ask your broker which structure fits your situation.

Construction Loans in Montclair, CA — Build Instead of Settle