We finance ground-up residential developments for 1 to 4-unit properties. Whether you’re building single-family homes, duplexes, triplexes, or quads, we offer funding that covers both horizontal (land prep and infrastructure) and vertical (framing and finish-out) development—often within a single loan. The key requirement: the finished property must fall within the 1 to 4 unit residential category.
Construction Financing
Build With Confidence
Flexible Construction Financing for Investors
Whether you’re breaking ground on a new development or upgrading an existing structure, Barrett Funding offers construction financing solutions tailored to your timeline, budget, and goals.
Lending Options for Every Phase of Development
At Barrett Funding, we provide streamlined construction financing solutions that cover both horizontal (land development) and vertical (building) phases. Our loan programs are ideal for investors and developers looking to take a residential project from blueprint to move-in ready.
If you’re planning to build from the ground up, construction financing gives you the capital and flexibility you need to bring your project to life. Whether you’re a first-time developer or a seasoned builder, construction loans are designed to fund the purchase of land and the cost of building a new structure—typically single-family homes or small multifamily properties with 1 to 4 units.
Who Is Construction Financing For?
We support a wide range of borrowers—each with unique goals, levels of experience, and investment strategies. Our flexible programs are designed to help you access capital when and how you need it most.
We commonly work with:
- Real Estate Investors – If you’re building single-family homes or small multifamily properties to hold as long-term rentals, our construction loans provide the funding you need to break ground and scale your portfolio.
- Residential Developers – Whether you’re constructing one unit or several, we offer scalable financing solutions for builders focused on ground-up development or planned residential communities.
- Fix-and-Flip Professionals – If you’re experienced in renovations and ready to take on new construction, our financing supports the transition from value-add flips to full-scale builds.
- First-Time Builders – You don’t need years of experience to get started. With a solid plan, a reputable contractor, and clear exit strategy, we can help you break into residential development.
Whether you’re building one home or multiple units, we tailor our financing options to your timeline, budget, and exit strategy.
What Projects Qualify?
We finance residential developments for 1 to 4-unit properties. These can include:
- Single-family homes
- Duplexes, triplexes, and quads
- Spec homes for resale
- Small rental portfolios
Your project can include land acquisition, site development, and construction—all under one loan. The finished property must meet the criteria of a 1 to 4-unit residential asset to qualify for our program.
Construction Financing Benefits
When you choose Barrett Funding, you’re not just getting capital—you’re getting a smarter, more supportive lending experience. Our construction financing comes with:
- Interest-Only Payments During Construction – Keep monthly costs low while your project is underway.
- Quick Pre-Approval – Receive initial loan scenarios and soft credit checks within 24 to 48 hours.
- Flexible Loan Structures – Terms are customized based on your project’s budget, timeline, and exit strategy.
- Monthly Draws Based on Progress – Funds are disbursed based on completed milestones, ensuring smooth cash flow throughout the build.
- Permanent Financing Options – Convert to a long-term loan once your project is stabilized and ready for occupancy or sale.
- From underwriting to closing to construction management, our team works alongside you to keep everything on track—so you can focus on building, not paperwork.
We work closely with you from pre-approval through closing and construction management, ensuring your project stays on track.
Getting Started with Construction Financing
A streamlined, investor-focused approach designed to get your deal done—without the red tape.
Built for Your Timeline
We understand construction projects move quickly. That’s why we prioritize fast underwriting and efficient closings, so your project doesn’t stall waiting for funding.
Customized Loan Structures
No two projects are the same. We tailor loan terms to match your construction draw schedule, timeline, and exit strategy.
Trusted Lending Partners
We collaborate with a broad network of private lenders and institutions to bring you competitive options based on your specific goals.
Our Approach to Construction Financing
Our team will walk you through every step from submitting your project plan and budget to closing your loan and pulling your first draw.
Your Questions Answered
Not always. We offer flexible construction financing options that include land acquisition as part of the overall loan structure. Whether you already own the lot or are under contract to purchase, we’ll assess your deal and tailor the loan accordingly.
Construction loans are typically disbursed in stages or “draws” based on project milestones and inspections. Our construction finance is dispersed through monthly draws based on work that has already been completed.
Yes. Most of our construction loans come with interest-only payment periods during the build phase, which helps reduce your monthly expenses while the property is still under construction and not generating income. You’ll only pay interest on the funds that have been drawn—not the entire loan amount upfront—giving you better cash flow flexibility throughout the project. Once construction is complete, you can either sell, refinance, or convert the loan based on your investment strategy.
Yes, we often structure construction loans to cover both land acquisition and build costs in a single loan package. This is ideal for investors buying raw land or tear-down properties and looking to streamline financing from day one.
We prefer borrowers who have prior construction or development experience, but it’s not always required. If you’re working with a licensed general contractor and have a solid plan and budget, we’re happy to review your deal. Ultimately, we look at the strength of the project, the team, and the exit strategy.
Yes. While most construction loans have a 12 to 18-month term, extensions may be available depending on the progress of your project and market conditions. Talk to your loan advisor early if delays arise, we’re here to help you stay on track.
Absolutely. Many of our clients use construction financing to build rental properties and then refinance into a long-term DSCR or conventional loan after completion. We’ll help you structure your loan with your exit strategy in mind.
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