Financing

    How to finance your build

    Whether you're building your own home on your lot or a rental portfolio in Florida, there's a loan built for it. We've closed builds with banks, credit unions, wholesale and private lenders, and we can get approved with yours.

    Talk through your financingGet a free feasibility report

    Lenders and loan partners we've worked with

    Lake Michigan Credit Union, UWM, Promise Home Loans, The Federal Savings Bank, Nextres, Lima One Capital, FCI Lender Services.

    Logos are trademarks of their owners and are shown to identify lenders we have worked with. We can also work with the lender of your choice.

    Your options

    Four ways to fund a new build

    Construction-to-permanent loan

    Homeowners building on their lot

    • One loan, often one closing: it funds the build in draws, then converts to a regular mortgage when the home is finished.
    • Many programs pay interest only on the amount drawn while the home is under construction.
    • With many lenders, equity in a lot you already own can count toward your down payment.

    Private construction loan

    Investors, spec builders and faster timelines

    • Underwritten on the project and your experience more than personal income.
    • Faster closings and flexible structures, usually with shorter terms (often 12 to 24 months) and higher rates than bank loans.
    • Sized as a share of project cost (loan-to-cost), with funds released in draws as each phase is completed.

    DSCR loan as your build-to-rent exit

    Investors who build, lease and hold

    • Once the home is finished and leased, refinance the construction loan into a long-term DSCR loan.
    • DSCR (debt service coverage ratio) loans qualify on the property's rent compared with the monthly payment, not your personal income.
    • Long fixed-rate terms let you hold the rental and repeat the process on the next lot.

    FHA-insured loans for build-to-rent communities

    New in October 2026 · communities of 5+ rental homes

    • HUD Mortgagee Letter 2026-12 opened FHA multifamily insurance to build-to-rent communities of single-family homes, duplexes and triplexes.
    • Section 221(d)(4) covers new construction: interest-only during construction, then a long-term fixed-rate loan. Section 223(f) covers refinancing or buying a community whose certificate of occupancy is less than three years old.
    • Requires at least five homes on one site run as a single, professionally managed rental community, with no lots sold off during the loan. Expect prevailing-wage requirements and longer HUD processing times.

    FHA build-to-rent details are from HUD Mortgagee Letter 2026-12 (October 2026). Program terms change; confirm current requirements with your lender.

    Phased builds make lenders comfortable

    Construction loans pay out in draws, and every Hivesta project already runs in phases with costs set out upfront. Each phase lines up with a draw: the work is completed, the lender inspects it, and the next draw is released. Our open-book budget, in-house team and milestone reporting give your lender what it needs to keep funds moving.

    For investors

    Plan the exit before you break ground

    Every investor build should have more than one way out. We help you line up the construction loan with the exit you choose.

    Sell

    Build a spec home or townhomes and sell at completion to repay the construction loan.

    Rent and refinance

    Lease the home, then refinance into a DSCR or other long-term rental loan.

    Hold a community

    For 5+ rental homes on one site, long-term FHA-insured debt is now an option.

    Financing questions

    Do I have to use one of your lenders?

    No. We have worked with the lenders shown on this page, and we can get approved as the builder with the lender of your choice. We provide the plans, budget, contract and license information lenders ask for.

    How do construction draws work with Hivesta?

    Every Hivesta project is phased, with costs set out upfront. Each phase lines up with a lender draw: the lender inspects the completed work, then releases the next draw. You see every invoice along the way.

    Can I use the land I own as my down payment?

    Often, yes. Many construction-to-permanent programs count the equity in a lot you own toward the down payment. Ask your lender how they value the lot.

    What is a DSCR loan?

    A debt service coverage ratio loan is a rental property loan that qualifies on the property's income. Lenders compare expected rent with the monthly payment (principal, interest, taxes, insurance and any HOA dues) instead of relying on your personal income.

    Can I use FHA financing for a single rental home?

    Not under the new build-to-rent policy. HUD's October 2026 change covers communities of five or more rental homes on one site, financed through FHA's multifamily programs. A single rental is usually financed with a private construction loan and a DSCR refinance.

    More detail in our construction loan guide

    Line up the build and the loan

    Tell us about your lot and your plans. We'll send a budget your lender can underwrite and follow up within one business day.

    Building your own home?

    Hivesta Construction is a licensed general contractor, not a lender or mortgage broker. Loan programs, rates and approvals are set by each lender. This page is general information, not a loan offer or financial advice.