Construction Loans

Smart Investors Trust Zeus™

Sometimes, no matter how hard you try, the home you’d like to purchase is out of your price range, or you cannot find one that meets your family’s needs. In cases like these, construction loans can help you finance either the renovation of your current home or the construction of a new one. But keep in mind that loans are different from conventional home loans. Sometimes they’re more expensive, and they often require more paperwork and documentation as part of the application.

The Loan Specialists at Zeus Lending can help residents of Texas better understand how a renovation loan works and help them decide if it’s the best option for them.

What Is a Construction Loan?

A construction loan, also called a renovation loan, is a short-term loan with a higher interest rate than a conventional loan that provides you with the funding to either remodel your home or have one built. The higher interest rate is due to the lack of collateral your home offers in a conventional loan. Therefore, the lender will see the investment as a higher risk. The loan term is usually one year, during which a new home must be completed and a certificate of occupancy issued. Due to the short timeframe, the lender will typically ask for a timeline, plans, and your expected budget.

Construction loans typically have an adjustable interest rate based on the current prime rate. Once approved, the payments will be made on a schedule, usually determined by the planned schedule. This is another way they are different from conventional loans, which are paid out all at once. The lender will typically have an appraiser or inspector come out to check on progress. If additional funds are deemed necessary, the lender will pay the costs directly to the contractor. The loans are meant to cover land costs, labor, building materials, and permit fees. Please note that home furnishings are not usually eligible for a loan, but permanent fixtures of the property like appliances and landscaping are.

Sometimes, homeowners can choose to convert the construction loan into a conventional mortgage once everything is done. This is called a construction-to-permanent loan. How feasible this will be for you (and how expensive it might be) depends on the type of loan you take out.

100% Satisfaction–Our Extreme Guarantee

Zeus Lending makes it easy for eager homeowners-to-be in Greater Houston to apply for home construction loans. Our Super-Simple Application™ takes no more than 3 minutes to complete. One of our Loan Specialists will then contact you on how to proceed. You are under no obligation whatsoever. If you do decide to move forward with us, our experienced and knowledgeable Loan Specialists will help you choose the right renovation loan for your needs. We aim for 100% customer satisfaction, no matter what you’re looking for.

Fill out the application today and get started on the path toward having the home of your dreams built!


Documents Needed For All Loans:

  • A copy of your current Drivers License and Social Security Card
  • Most recent 30 days worth of pay stubs
  • Most recent 60 days worth of bank statements. (If using retirement funds, please provide terms and conditions of withdrawal)
  • Most recent 2 years W-2’s (please provide signed and dated Year-To-Date Profit and Loss statements if self-employed)
  • Most recent 2 years IRS tax returns (both personal and business, all pages, all schedules please)