Construction Loans

What are Construction Loans?

Construction Loans are short-term loans used to finance the building of a home or another real estate project. The builder or home buyer takes out a construction loan to cover the costs of the project before obtaining long-term funding. Because they are considered fairly risky, construction loans usually have higher interest rates than traditional mortgage loans. Construction loans are ideal for people who are looking to build their dream home.

Conventional Loans

What are the Construction Down Payment Requirements?

For Purchase transactions Construction Loans require the home-buyer to put down at least 20% - 25%* of the purchase price of the home. To be able to gain approval for a consrtuction loan, you must provide us with an extensive list of construction details, also known as a "blue book" and prove that you have a qualified builder as part of your homebuilding project.

Find Out if a Construction Loan is Right for You

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* - Please visit our Disclosures page for more details for all loan types

Contact Us

American Pacific Mortgage (NMLS# 1850)
Branch NMLS #1732230
9601 Katy Freeway, Suite 420
Houston, Texas 77024
Phone: 713-822-0475
Fax: 866-889-0767
State Licenses: TX
John Frels (NMLS# 282056)



Hours of Operation:

Monday - Friday, 8:30 am - 5:30pm CST
Saturday, 8:30am - 12:30pm CST

Complaints may be directed to:


© 2020 American Pacific Mortgage Corporation. For informational purposes only. No guarantee of accuracy is expressed or implied. Programs shown may not include all options or pricing structures. Rates, terms, programs and underwriting policies subject to change without notice. This is not an offer to extend credit or a commitment to lend. All loans subject to underwriting approval. Some products may not be available in all states and restrictions may apply. Equal Housing Opportunity.