Arizona · Ground-Up Construction
Arizona spec home and ground-up construction loans.
Financing for spec houses, infill lots and small residential buildings up to nine units in Phoenix, Scottsdale, Tucson and beyond. Up to 85% of cost, interest only on drawn funds, draws released against inspected work, $1M to $5M.
By David Hodara ·
85% LTC
Max leverage
$1M-$5M
Loan range
24-48h
Term sheet
On inspection
Draws
Arizona ground-up construction market context
We lend up to 85% of total cost on Arizona spec builds, land included when it is bought with the loan, with equity going in first and draws following inspected work. The loan is also checked against finished value. The exit is a sale, or a DSCR refinance at up to 80% LTV if the house will be rented.
Utility service is confirmed for each lot before the term sheet, since water and sewer connections set the schedule on edge-of-metro land as much as the permit does. Permit timelines also vary between cities within the Phoenix metro, and the term is written to the realistic one.
Non-US sponsors build in Arizona on the same terms as US sponsors, through a US LLC, underwritten on the budget, the general contractor and the exit.
Typical loan products for Arizona ground-up construction
Each deal gets routed to the product structure that fits. Most ground-up construction deals in Arizona use one of the following.
Construction loans
Ground-up financing for spec houses, small residential buildings and build-to-rent, up to 85% of cost, interest only on the drawn balance, draws against inspected work.
Bridge loans
Lot or land acquisition while permits and horizontal work are finished, ahead of the first construction draw.
DSCR loans
The hold or the exit: long-term financing qualified on the property's rent rather than personal income, up to 80% LTV.
Buying Arizona ground-up construction from outside the US
We finance ground-up construction in Arizona for investors based outside the United States as readily as for US borrowers. The loan is made to a US LLC rather than to an individual, which keeps it business-purpose, and the underwriting looks at the property rather than at a US credit profile a non-resident has no way to build.
That means no US credit history, no US income documents, no foreign-national rate premium, and no requirement to travel to the United States to close. If you do not yet have the entity, forming one is a step in the process rather than a prerequisite you have to solve alone.
Top Arizona markets we actively fund
We work ground-up construction deals across Arizona, with deepest lender relationships in the metros below.
Arizona ground-up construction FAQ
How much of an Arizona spec build can be financed?
Up to 85% of total cost. On a lot you already own, its value usually covers most of the equity.
Do you lend before permits are issued?
Not as a construction loan. A bridge can carry the lot while permits are finalized, then convert to construction.
What does the financing cost upfront?
Nothing. There are no upfront fees. Our fee is 1 to 2% of the loan, paid at closing, and the rate is set on the term sheet by leverage, the business plan and the sponsor's completed projects.
Can a foreign national finance ground-up construction in Arizona?
Yes. We lend to a US LLC rather than to an individual, and we underwrite the property rather than a US credit profile, so a non-resident with no US credit history and no US income documents borrows on the same terms a US investor receives. You do not have to travel to the United States to close.
Other Arizona asset classes
Got a Arizona ground-up construction deal? Send it over.
Term sheet inside 48 hours, or a fast no so you can move on. Business-purpose investment property financing only.