Florida · Spec Home Construction
Florida spec home construction loans.
Ground-up financing for spec houses, infill lots and small residential development. Up to 85% of cost, interest-only on what you have drawn, 12 to 24 months, with draws released against inspection rather than against a schedule.
By David Hodara ·
85% LTC
Max leverage
$100k-$5M
Loan range
12-24 months
Term
On inspection
Draws
Florida spec home construction market context
Florida spec building is a lot game. The land is rarely the problem and the vertical cost is knowable; what decides the deal is how long the permit takes in the jurisdiction you picked, and permit timelines inside the same metro vary by months. A budget built on the optimistic version of that number is the single most common reason a spec file needs a rescue in month ten.
Coastal work carries requirements that inland work does not: elevation certificates, wind mitigation, and in some counties a flood review that has to clear before the first vertical draw. None of that is exotic, but it belongs in the schedule at the start rather than being discovered at the foundation inspection.
Typical loan products for Florida spec home construction
Each deal gets routed to the product structure that fits. Most spec home construction deals in Florida use one of the following.
Buying Florida spec home construction from outside the US
We finance spec home construction in Florida 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 Florida markets we actively fund
We work spec home construction deals across Florida, with deepest lender relationships in the metros below.
Florida spec home construction FAQ
How much of a Florida spec build can be financed?
Up to 85% of total cost, land included when the land is bought with the loan. Equity goes in first, then draws follow completed and inspected work. On a lot you already own free and clear, the equity in the lot usually covers most of the requirement.
Do I need a builder's licence to borrow for a spec home?
You need a licensed general contractor on the file, which is not the same thing as being one. An investor who has never built can borrow with a credible GC, a real budget and a contingency; the pricing follows the sponsor's own track record rather than the contractor's.
How do draws work during construction?
In arrears, against work already completed and inspected, typically five to eight draws over the build. Interest accrues only on the drawn balance, so the carry in the early months is small. Budget the inspection lag into the schedule: two to four business days per draw is normal.
What is the exit on a spec construction loan?
Sale, or a refinance into a 30-year DSCR loan if the plan is to keep and rent it. We write the exit into the term sheet at the start, because it drives the term you actually need: a build-and-sell is a 12-month loan and a build-and-hold is an 18-month loan with a refinance already lined up.
Can a foreign national finance spec home construction in Florida?
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 can borrow on the same terms a US borrower receives. There is no foreign-national rate premium, and you do not have to travel to the United States to close. The structure is the same in Florida as in every other state.
Got a Florida spec home construction deal? Send it over.
Term sheet inside 48 hours, or a fast no so you can move on. Business-purpose CRE financing only.