couple enjoying new home

Construction to Permanent Mortgage Loans

Build your new home with confidence.

Get approved for up $3 million to build your dream home.

No need to worry about surprise costs or finding a mortgage loan provider — our friendly, local team will help you apply, qualify a builder, and transition to a permanent mortgage.

Just pick the place. We’ll take care of the rest.

We offer two loans in one so you can get settled into your mortgage right after construction.

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Covers the construction cost

Our loan covers costs while your home is being built, so no need to worry about unexpected bills or fees.

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You pay interest up-front

Every payment you make during the construction phase goes towards your interest only.

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Converts to a permanent mortgage

Once your home is built, your loan converts into a mortgage, and you’ll make monthly payments on your new home.

What you can expect.

Choosing to build your own home is a bold and brave decision, but we have a simple process that sets you up for success from pre-approval to settling in to your new home.

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Meet with a Mortgage Loan Officer

Your MLO will walk you through the pre-approval process and help you complete the entire application. Once approved, we’ll help you qualify and approve the builder of your choice.

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Sign the Final Construction Contract

You’ll confirm the design, specs, and price for the home. We’ll also order the Project Review, Construction Underwriting Review, and Appraisal on the home.

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Close Your Loan

You’ll finalize all the details with a real estate attorney before signing on the dotted line — then construction begins!

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Construction in Progress

As the builder works on your home, our team will distribute the funds to them based on the agreement.

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Your New Home is Complete

Congratulations — you’ve officially built the home of your dreams and your construction loan has transitioned into a permanent mortgage. Enjoy!

See how the entire process works, from meeting with an LFCU Mortgage Loan Officer to Permanent Mortgage Transition (PDF)

Our members say the nicest things.

I’ve been a member of LFCU since I joined USAID in 1987 and I plan to remain a member until I die. LFCU has seen me through overseas assignments when we still did business by cable until the present electronic age. They financed my first car and all three subsequent cars, including one I bought last month. LFCU has seen me through accidents, in both West Africa and the US, lost storage, home B&Es in Budapest (twice), and many other fiascos, and have always been there to give advice and help. My mother became a member and LFCU staff were very helpful when it came time to settle her estate. Always kind and going the extra mile.

Mary O. Member

Meet our Mortgage Team.

We’re always just a call or email away!

Ready to start building your new home?

Get started
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Equal Housing Lender. NMLS#: 464425

Equal Housing Lender