Question 1

How does a construction loan work in Corning?

Accepted Answer

You borrow in stages called draws as the build progresses. At completion, the loan converts to a permanent mortgage.

Question 2

Can I be my own general contractor?

Accepted Answer

Some lenders allow owner-builder loans but most require a licensed GC. Options are limited — ask us what's available.

Question 3

What credit score do I need?

Accepted Answer

Most programs start at 680. Lower scores narrow your options significantly, especially for rural Tehama County properties.

Question 4

How much down payment is required?

Accepted Answer

Expect 20-25% down. Construction is higher risk for lenders, so down payment requirements are stricter than a standard purchase.

Question 5

What if the build costs more than expected?

Accepted Answer

Cost overruns come out of pocket unless you built a contingency into the loan. Budget 10-15% above your contractor's bid.

Question 6

Does the property need to be in Corning city limits?

Accepted Answer

No. We can finance builds throughout Tehama County. Rural and ag-adjacent lots just need extra underwriting review.

Construction Loans in Corning, CA — Build Instead of Buy