FIND MY LEXAR LOCATION
Financing a custom home is different from buying an existing home, especially when you’re building on your land. Questions about construction loans, timelines, and upfront costs often come up early in the process.
Lexar helps simplify custom home financing by connecting you with trusted lenders who understand how to structure loans for build-on-your-lot projects. The goal is to make financing clearer, more predictable, and easier to navigate from the start.
Financing a custom home is different from buying an existing home, especially when you’re building on your land. Loan structures and requirements can vary, which is why understanding your options early is important, as outlined by the Consumer Financial Protection Bureau.
Why Lexar
Why Financing Feels Easier with Lexar
- Preferred lender relationships built around construction and land loans
- One-time close options that simplify the financing process
- Guidance tailored to build-on-your-land projects
- Clear next steps so you know what to expect early on
Preferred Lenders
Why Work With Our Preferred Lenders?
Lower Closing Costs
Working with preferred lenders can help reduce certain fees and streamline the closing process. This can make financing more efficient compared to navigating construction loans independently.
True "One-Time Close" Program
A one-time close combines construction and permanent financing into a single loan, reducing the need for multiple approvals and closings. This simplifies the process and helps create more predictable costs from the start.
Competitive Interest Rates
Preferred lenders offer competitive rates designed specifically for construction and custom home financing. This helps keep long-term costs aligned with your overall budget and financial goals.
Land Loans Available
Financing options are available for both land purchases and construction, allowing you to move forward even if you don’t already own property. This makes it easier to plan your full project in one place.
Close on Land & Construction
In some cases, financing can be structured to cover both land and construction together. This creates a more streamlined experience and reduces the need to coordinate separate loans.
Down Payment Requirements
Down payment requirements vary based on the loan structure, land ownership, and financial profile. Preferred lenders help clarify expectations early so you can plan accordingly.
Down Payment Requirements
Down payment requirements vary based on the loan structure, land ownership, and financial profile. Preferred lenders help clarify expectations early so you can plan accordingly.
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Frequently Asked Questions
What is custom home financing?
Custom home financing typically involves a construction loan that converts into a traditional mortgage once the home is complete. Unlike buying an existing home, funds are released in stages as the home is built.
This structure allows financing to align with the building timeline, but it also introduces more complexity, which is why working with experienced lenders is important.
How does financing work when building on your land?
When building on your land, financing usually includes both construction costs and, if needed, the cost of the land itself. The loan is structured to cover different phases of the build as work is completed.
Because every property is different, factors like utilities, site prep, and access can influence the loan structure, making early planning especially important.
What is a one-time close construction loan?
A one-time close loan combines construction financing and your permanent mortgage into a single loan. This means you only go through the approval and closing process once.
This approach simplifies financing and helps reduce closing costs, while also locking in terms earlier in the process.
Why work with Lexar's preferred lenders?
Lexar’s preferred lenders specialize in construction and build-on-your-land financing. They understand the unique requirements of custom builds and can help structure loans accordingly.
Working with experienced lenders can reduce delays, improve communication, and make the overall process smoother from start to finish.
What should I know before applying for a construction loan?
Before applying, it’s helpful to understand your budget, credit profile, and the general scope of your project. Lenders will also evaluate the land, plans, and estimated build costs.
Having a clear plan early can make the approval process more efficient and help avoid delays later.
Can I finance both land and construction together?
Yes, in many cases, financing can be structured to include both land and construction in a single loan. This can simplify the process and reduce the need for multiple approvals.
The availability of this option depends on the lender and your financial situation, so early conversations are important.
How much do I need for a down payment?
Down payment requirements vary depending on the loan type, credit profile, and whether you already own the land. In some cases, existing land equity can contribute toward the required amount.
Your lender will outline specific requirements based on your situation so you can plan accordingly.
How long does the financing process take?
The timeline can vary depending on loan type, documentation, and project complexity. In general, construction loan approvals may take longer than traditional mortgages due to additional review steps.
Starting early and working with experienced lenders can help keep the process on track.
Start with a Clear Financing Plan
Understanding your financing options early can make the entire building process more manageable. With the right structure and guidance, you can move forward with confidence.
