Skip to main content
Find a Lawyer

term:

Construction Loan

construction loan

a short-term, to finance the cost of building a new home. The lender pays the builder based on milestones accomplished during the building process. For example, once a sub-contractor pours the foundation and it is approved by inspectors the lender will pay for their service.

Source: U.S. Department of Housing and Urban Development

See More Property Rights and Real Estate Law Terms

See Other Legal Glossaries

Copied to clipboard