• 1-888-795-9850
Facebook-f X-twitter Linkedin-in
contact us

VA Construction-to-Permanent Loan

Roll Your Construction Loan Into a VA Mortgage

If you financed your build with a construction loan, you may qualify to roll it into a VA-backed permanent mortgage — and start enjoying long-term benefits.

  • Lower Your Interest Rate
  • No Down Payment Required
  • Fixed Term - 30 and 15 year
  • No Private Mortgage Insurance

When to Start the VA Conversion Process

A VA Construction-to-Permanent Loan is a unique benefit available to eligible Veterans and active-duty service members who want to build a custom home from the ground up. This loan allows you to finance the purchase of land (if needed), the construction of your home, and the permanent mortgage — all with a single loan and a one-time closing. Once construction is complete, the loan automatically converts into a standard VA mortgage, with no need to refinance or go through a second closing.

 

This streamlined process not only saves time and money but also allows you to take full advantage of your VA benefits. In most cases, no down payment is required, and there’s no monthly mortgage insurance. You can use land you already own, or include the land purchase in the loan. All builders and construction plans must be approved under VA guidelines, and the loan must meet standard VA eligibility requirements.

 

With competitive fixed interest rates, no PMI, and the flexibility to customize your home, the VA Construction-to-Permanent Loan is an ideal option for Veterans ready to build their forever home.

Unfinished two-story brick house structure with scaffolding against a blue sky

Convert Your Construction Loan Into a VA Permanent Mortgage

You can take your existing construction loan or close on a new construction loan which will convert into a VA home loan.

Get Pre-Approved

We'll confirm your eligibility for a VA loan and guide you through the refinance process — even before your home is fully complete. Contact us by clicking the button below.

Receive Your Estimates

Once we review your construction details and timeline, we’ll send personalized VA refinance estimates, including projected monthly payments and closing costs.

Close the Loan

You’ll select your interest rate and lock it in. Then we’ll order the VA appraisal, complete underwriting, and schedule your closing — all before your construction begins

Contact us

Frequently Asked Questions?

View All
What is a VA Construction Loan?
 A VA construction loan allows eligible veterans to finance the construction of a new home, including purchasing land if needed. It’s a One-Time Close (OTC) loan, meaning it combines the construction financing and permanent mortgage into a single transaction.
  • No second closing is required; everything is done upfront.
  • No mortgage payments during the construction period.
  • The loan is locked at the start with no need for a second appraisal after construction.
  • Extended lock periods up to 360 days with rate float-down options.
  • Construction loans are serviced in-house, ensuring a smooth process.
  • Soft costs and interest reserves are included in the loan.
  •  Contingency funds (minimum 2%) are built into the loan to cover unexpected expenses.
 

VA construction loans can be used for:

  • Site-built, single-family detached homes.
  • Modular homes, log homes, and barndominiums.
  • Manufactured homes (multi-width only; single-width- requires an exception).
  • Homes with accessory dwelling units (ADUs) built simultaneously with the primary residence.

Ineligible properties include container homes.

Older man in sunglasses shading his eyes while standing in a doorway