Question 1

Can I build in Vallejo with less than 20% down?

Accepted Answer

It's rare. Most construction lenders require 20-25% down. A stronger credit profile may help at the lower end.

Question 2

How do draw schedules work in construction loans?

Accepted Answer

Funds release in stages as construction milestones are hit. Your lender sends an inspector before each draw is approved.

Question 3

Does my builder need lender approval in Solano County?

Accepted Answer

Yes. Your builder must be licensed and approved by the lender before closing. Start that process early.

Question 4

What happens if my Vallejo build goes over budget?

Accepted Answer

Overruns come out of pocket — lenders don't increase the loan mid-build. Contingency reserves of 10-15% are smart planning.

Question 5

Can I use a construction loan to renovate an existing home?

Accepted Answer

Yes. Major renovation projects can qualify. The scope must be significant — not just cosmetic updates.

Question 6

What is a one-time close construction loan?

Accepted Answer

It combines the construction loan and permanent mortgage into one closing. You lock your rate before the build starts.

Construction Loans in Vallejo, CA — Build Instead of Compete