It doesn't matter what you hear...you can still get Constuction Home Loans and Lot loans for Primary Residences and Investors. True, they may not be based on value or future value of the property, however, you can still get them.
One great option is Silver State Bank. We are a construction and lot loan portfolio lender with the goal of taking a person from lot loan financing to construction financing to permanent financing with as little hardship as possible. We do this effectively with our wonderful Loan Servicing Team (which is where I got my start) and our definitive programs that are simple and easy to follow.
Here is a quick run down for you:
1) Lot Financing - 70-80% LTV depending on borrower's qualifications. Usually a 2 year loan with a balloon payment.
2) One -Time Close Construction - 70%-80% LTV again depending on qualifications. Standard 3/1 ARM I/O product with 2 YR waivable PPP. This has one interest rate locked in from beginning of construction to the end of the three year term. Then the loan can adjust every year from then on.
3) Several Broker Options - Opportunity to broker your loan to another lender with 30 YR Fixed or longer term ARM financing for jumbo loans at no cost to you upon completion or whenever you desire to refinance.
Overall, the main benefits to using Silver State Bank are: the ability to use one bank for every stop along the way from lot purchase to final end loan, the ability to have quick draws (24-48 HRS in Maricopa County), servicing done in AZ with live person and direct access to me, the LO, should there be a problem, and service you can trust.
I believe that if you are looking for a great lot loan and find it, then Silver State Bank may be the best place for you to go. Give me a call at 602-670-3272 for any questions. Thank you.