New Construction & Vacant Land Loans

When you want to build a home, a construction loan from the home loan experts at Royal Credit Union is the answer. 

• Royal offers construction loans for building your dream home or building a second home
• You can include the cost of a land purchase if you do not already own the property where you are building
• Land loans for vacant lots or recreational land are also available

Construction Loans

• Our construction loan allows a building period of up to 9 months. During the construction period, borrowers pay only the interest on their construction loan.
• When construction is complete, the loan converts to a conventional fixed-rate or adjustable-rate mortgage.
• We offer flexible rate lock options:
  • If you choose a 10/1 adjustable rate mortgage, you can lock your permanent financing rate at the start of construction.
  • If you choose a fixed-rate mortgage as your permanent financing, you can lock your rate after construction is complete. You will be able to lock at Royal's rates that are current at the time construction is complete.
• One-time or two-time closing is available, depending on your needs

Vacant Lot Or Recreational Land Loans

• We offer financing to purchase empty lots for future construction as well as land for recreational purposes like hunting
• Agricultural land and other types of land used to provide income are not eligible for land loans
• Financing options for land loans include 3-year and 5-year adjustable-rate mortgages