Question 1

How long does a construction loan last in Campbell?

Accepted Answer

Most construction loans run 12 to 18 months. Campbell's permitting delays make 18 months the safer choice.

Question 2

Can I be my own general contractor?

Accepted Answer

Most lenders say no. They require a licensed, vetted GC. Owner-builder programs exist but are rare and harder to qualify for.

Question 3

What happens when construction is done?

Accepted Answer

You either convert to a permanent mortgage or refinance. A construction-to-perm loan handles both in one closing.

Question 4

Do I pay the full loan amount during construction?

Accepted Answer

No. You pay interest only on funds drawn. Full payments start after the loan converts to a permanent mortgage.

Question 5

Can I build an ADU with a construction loan in Campbell?

Accepted Answer

Yes, though smaller ADU projects sometimes fit better under renovation or HELOC products. Scope and cost determine the right fit.

Question 6

How is the loan amount determined?

Accepted Answer

The appraiser estimates the completed home's value. Your loan is based on that future value, not today's lot price alone.

Construction Loans in Campbell, CA