i am looking for a lender that will fund a VA construction loan

Realistically, you can not do a real construction loan with VA... You can have a builder build a home, fund everything themselves, and then close on it with a VA loan... But a construction loans where you fund the construction doesn't work with VA loan. Some lenders will handle the construction loan and wrap it into your end loan as a VA loan giving the appearance of a VA construction loan... but it really isn't. www.VA-IRRRL-Loan-MN.com

This question pops up about every 3-4 months. There are very few lenders who will do this, most construction loans are for a maximum of 90% of the cost/value of the home. Your best option is to find a builder who will construct the home and then sell it to you when the home is completed and you can use the VA loan for a permanent mortgage. Good luck!

A larger Community Bank would be a good starting place to look. They could do the construction project in house and wouldn't have to worry about Fannie or Freddie guides and when complete could do a VA end loan. Good Luck.

Most lenders will not fund draws on a VA Construction Loan. Since a VA borrower can only pay for one appraisal, some lenders will allow the home to be appraised once it is 80 to 90% complete, it then closes once a certificate of occupancy is completed and the builder is then paid. Another option is to have your construction loan be a conventional end loan. This way you can have the home appraised based off of the plans and specification, provide your builder with your approval, so that they know they will receive their money upon completion. The Certificate of Occupancy is obtained and the builder is paid. Call me to discuss this and I will try to point you to a lender that can help you in Mississippi. As a lender I operate in MI, IN & TX

although you will find "construction loan" in the VA product guide, you will not find a lender willing to do one. Since VA loans are 100% financing, most custom home builders will not take on the task of building a home and rolling the dice your still able to complete the purchase 8-12 months, all with you the buyer having nothing out of pocket. For this reason most lenders don't do VA construction loan. This applies to the person who finds a lot and is building a custom home.. if your purchasing a home in a new home subdivision, then often times those builders will ask for a deposit, construct the home on their own money, and then you finance it when it's complete.. .. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com