A loan option that lets buyers build their dream home and purchase the land, all with just one loan process! This construction loan is a 30-year, fixed rate, USDA Rural Development (RD) construction to permanent mortgage. May qualify for no down payment.

All-in-one financing solution for lot purchase, construction and permanent mortgage funding.

Are your clients frustrated with the low inventory of homes on the market? Are they competing against multiple offers? Are rising home prices beyond their reach? Help them achieve their dream of homeownership by building their dream home instead!

The ability to build a new home with no down payment opens up a significant new pool of interested buyers. People who have always been able to afford the monthly payments in this price range, yet did not have the tens of thousands to use as a down payment at closing. This is typically required from most other new construction loans.

Unlike other construction loans, this is a one-time close. This makes the process much simpler.

Other Benefits

  • Buyer’s agent can receive commission on the lot as well as the total cost of construction
  • Build their dream home!
  • May qualify for no down payment
  • The lot can be purchased at closing, or buyers can build on land they already own
  • Loan is fully funded before construction begins
  • Construction can begin as soon as the loan closes
  • Eliminates worries of another loan qualification, concerns over a new appraisal, and dual fees associated with the second loan
  • Nine-month construction period starts within 30 days of closing

Commission to Agents? Heck Yeah!

With the USDA New Home Construction Loan, real estate agents who represent the buyer are now able to get two commissions at closings. The commission for the land as well as a commission on the total cost of construction from the builder. This means that your income would stay relatively the same, whether the client chooses to buy an existing home, or chooses to build.

Download the USDA New Construction Flyer


*Down payment and terms shown are for informational purposes only and are not intended as an advertisement or commitment to lend. Please contact us for an exact quote and for more information on fees and terms. Not all borrowers will qualify.