We provide Ingersoll construction loans for our clients from both institutional and private mortgage financing sources in southern Ontario.
The most common form of construction financing is for single family home construction with requests for financing coming from builders, property owners, and developers as well as individuals looking to do a self build project. The most common form of construction financing for this type of application is a private mortgage construction mortgage. Even though this form of construction lending is more expensive than what you could secure from the bank, it maintains it popularity in the market due to 1) a faster application process; 2) more streamlined draw administration; and 3) the ability to arrange the long term take out mortgage after construction has started, providing more time to find the best deal in the market.
If you have the proper profile and the lead time required to get institutional construction financing in place, we can get you matched up with a mortgage lending program that is able to meet your requirements. Keep in mind that for single family self builds the institutional lender will require you to qualify up front for both the construction loan and the take out mortgage as they won’t provide the construction financing without getting the long term mortgage as well.
For commercial construction projects, there are also both institutional and private mortgage construction financing options to consider. With commercial construction, institutional lenders will provide construction financing on a one off basis for larger projects such as condo developments. Similar to smaller residential projects, more lead time is required to secure commercial construction loans due to the lower level of risk that is associated with them and the higher degree of due diligence required by the lender to verify the risk level.
Most private mortgage commercial construction loans are for amounts under $2.0 M, although private lenders do provide higher amounts of construction funding for commercial projects whether it be on an individual, partnership, and syndicated financing scenario.
If you require an Ingersoll construction loan for a project your planning or currently in the middle of, I suggest you give me a call so I can quickly assess you situation and provide relevant construction loan options for your immediate consideration.