Question 1

Can I use a construction loan to build in a desert rural area?

Accepted Answer

Yes, but not every lender will touch rural desert builds. SRK CAPITAL has wholesale lenders who actively finance projects in Yucca Valley.

Question 2

How do construction loan draws work?

Accepted Answer

Funds are released in stages as work is inspected and verified. You don't get the full amount upfront — lenders pay as the project progresses.

Question 3

What credit score do I need for a construction loan?

Accepted Answer

Most lenders require 680 or higher. A stronger score also gets you better terms on the permanent loan you'll convert to after completion.

Question 4

What is a one-time close construction loan?

Accepted Answer

It combines the construction loan and permanent mortgage into one closing. You save on fees and lock your permanent rate upfront.

Question 5

How long does a construction loan last in San Bernardino County?

Accepted Answer

Typically 12 months, but permits in San Bernardino County can delay timelines. Ask about 18-month terms when building in the Hi-Desert.

Question 6

Do I pay interest during construction?

Accepted Answer

Yes — interest-only payments on each draw as funds are released. Full principal payments start when the loan converts to a permanent mortgage.

Construction Loans in Yucca Valley, CA