Question 1

How does a construction loan work in Red Bluff?

Accepted Answer

You borrow in stages as your home is built. At completion, the loan converts to a permanent mortgage.

Question 2

Can I use a construction loan to buy land in Tehama County?

Accepted Answer

Some programs roll land purchase and construction into one loan. Not all lenders offer this — ask us specifically.

Question 3

What credit score do I need to qualify?

Accepted Answer

Most lenders start at 680 for construction loans. Some programs require 700 or higher based on the deal structure.

Question 4

Do I need a licensed contractor in California?

Accepted Answer

Yes. Lenders require a licensed, insured general contractor. Owner-builder programs exist but are rare and harder to qualify for.

Question 5

How long does a construction loan last?

Accepted Answer

Typically 12 months for the build phase. Extensions are possible but may come with added fees.

Question 6

Are rates higher on construction loans than regular mortgages?

Accepted Answer

Yes. Construction loans carry more lender risk, so rates run higher during the build phase. Rates vary by borrower profile and market conditions.

Construction Loans in Red Bluff, CA — Build It Right