What types of loans does CoFi offer, and where do they lend?

*70% LTV for Luxury Spec (ARV > $2.5M) or outside a defined MSA.

General guideline only — subject to full underwriting, appraisal, and credit committee approval.

What are spec home loans?

Spec home loans are construction financing for homes built before a buyer is secured. Builders develop single-family homes on speculation, betting on market demand. CoFi provides tailored spec home financing with quick approvals, competitive rates, and flexible draw schedules that keep projects on track.

Does CoFi fund single-family spec homes?

Yes. CoFi specializes in New Construction financing for single-family home builders, including spec builds. We understand the unique cash flow challenges of spec development and offer solutions designed by builders, for builders.

How long does approval take for a spec home loan?

CoFi prioritizes speed without sacrificing diligence. Most approvals happen within 5–10 business days, depending on documentation completeness. Our streamlined underwriting and software platform reduce delays common with traditional lenders, helping you close faster and get to construction.

What rates and terms does CoFi offer for spec homes?

CoFi offers competitive rates and flexible terms tailored to your project profile. Rates vary based on loan amount, location, builder experience, and market conditions. Contact our team for a personalized quote.

Can I get financing for multiple spec homes at once?

Yes. CoFi provides portfolio financing for builders managing multiple spec projects. Whether you’re financing one home or a small portfolio, we work with you to structure loans that match your cash flow and development schedule.

Can CoFi finance model homes for a subdivision or tract development?

Yes. Model homes are an essential part of Production & Tract financing. CoFi includes model home construction in our multi-unit and tract development loans, recognizing that builders need showcase homes to drive sales in larger subdivisions.

How are model homes financed differently from spec homes?

Model homes are typically funded as part of a broader subdivision or tract loan rather than as standalone loans. The lending structure accounts for the entire development phase, with model home budgets built into the overall project draw schedule.

Does CoFi offer subdivision financing or land development loans?

Yes. CoFi’s Production & Tract program specializes in subdivision and tract development financing. We fund land acquisition, infrastructure development (roads, utilities, grading), and individual lot construction for builders developing residential subdivisions.

What does a subdivision loan typically cover?

Subdivision loans cover the full development cost: land purchase, infrastructure (roads, drainage, utilities), site work, and per-unit construction financing. CoFi structures draws around development phases—from land acquisition through lot improvements to individual home construction—so you draw funds as you spend.

Can CoFi finance a subdivision with 10 lots? 50 lots? 100+ lots?

CoFi finances subdivisions of all sizes, from small multi-lot tracts to large-scale developments. Underwriting and loan structure scale with project complexity. Larger subdivisions may benefit from phased lending approaches that spread funding and reduce risk as the development progresses.

What are tract development loans?

Tract development loans finance the building of multiple homes on contiguous land. Also called “production loans,” they typically cover both the land and individual unit construction. CoFi’s tract financing supports builders developing residential communities from the ground up.

How quickly can I get funded?

CoFi prioritizes fast funding. Most loans close within 15–30 days of approval. Our automated software platform and experienced team eliminate delays common with traditional construction lenders, so you can start construction and manage cash flow efficiently.

Do I need to be an experienced builder to qualify?

No. While builder experience is underwritten, CoFi works with builders at all levels—from seasoned GCs to first-time builders. Your team’s qualifications, project fundamentals, and market conditions matter more than years in business. Contact us to discuss your profile.

What are CoFi’s draw and payment processes?

CoFi’s software platform streamlines draws and payments. You submit draws through our portal with photos and documentation; we process them quickly. Payments flow to contractors and suppliers automatically, reducing manual work and speeding up cash flow. Many builders report paying contractors 10 days faster with CoFi.

Can I access my loan account 24/7?

Yes. CoFi’s loan servicing software gives you 24/7 access to your loan account, draw history, project timeline, and payment status. You can submit draws anytime, monitor progress in real time, and manage your project from your phone or computer.

What documentation do I need to apply?

Typical requirements include personal financial statements, business financials, project plans, construction budgets, proof of land ownership or purchase agreement, builder resume, and personal credit documentation. Our team will provide a complete checklist when you apply.

Does CoFi finance construction in my state?

CoFi is licensed to lend in California, Idaho, Oregon, and Utah. We primarily serve the Mountain West and West Coast regions. If you’re outside these states, contact us to explore options or learn about future expansion.

How is CoFi different from traditional banks?

CoFi was built by builders, for builders. We combine construction lending expertise with technology that traditional banks lack. Faster approvals, automated draws, 24/7 account access, transparent communication, and software designed specifically for construction finance set us apart. We understand your business because we’ve been in it.

What makes CoFi’s software different?

CoFi’s software integrates lending and project management. Submit draws, track payments, manage timelines, and communicate with your lender in one place. Contractors and suppliers get paid faster, project transparency increases, and you reduce administrative burden—that’s construction financing the way it should work.

How do I apply for a construction loan?

Start by clicking “Apply Now” on our website or contacting our team directly. We’ll discuss your project, explain loan options, and provide an application checklist. Most builders complete the process in under two weeks.

Can CoFi finance my ground-up SFR (single-family residential) development?

Yes. CoFi’s New Construction program is ideal for ground-up SFR projects. Whether you’re building spec homes, custom homes for sales, or investor-owned rentals, CoFi provides construction financing with quick approvals and flexible draw structures.

Can investors use CoFi for ‘SFR development’ or ‘single-family rental development’?

Yes. CoFi funds construction for investors building single-family homes for rental or hold purposes. The financing structure works the same as spec construction—you get a construction loan that funds the build, draws are tied to milestones, and you can refinance with a permanent lender once construction completes.

I’m an investor building a small residential development (5–10 lots). Can CoFi help?

Yes. CoFi’s Production & Tract program finances investor-led subdivisions and small developments. We work with investors managing multi-lot projects, from acquisition and site work through individual unit construction.

Can CoFi finance a multi-family or townhome development I’m building as an investor?

Yes. CoFi’s Production & Tract program covers multi-unit attached housing (townhomes, duplexes, garden apartments) built by investors or developers. Financing structures to match your project timeline and hold strategy.

What if I’m building a custom home for a specific buyer as an investor?

CoFi finances custom construction for investors. If you have a buyer contracted or a specific design, CoFi can structure a loan around that project. Terms and rates may vary based on whether you have a pre-sale contract.

How is CoFi’s construction financing different from a traditional real estate loan?

CoFi funds the construction process, not the finished property. You draw funds as you build—for land, labor, materials, and services—rather than receiving one lump sum. This approach reduces your cash flow burden and ties funding to actual project progress. Once construction completes, you refinance to permanent financing.

How long does a construction loan last?

Construction loans typically last 12–24 months depending on project scope and timeline. CoFi structures loans to match your project duration. Once construction is complete, you obtain permanent financing (long-term mortgage, portfolio rental loan, or sale proceeds) and pay off the construction loan.

What happens after construction is complete?

You refinance with a permanent lender. For investor rentals, that might be a bank, portfolio lender, or Fannie Mae small portfolio lender. For spec homes you’re selling, the buyer’s mortgage replaces the construction loan. CoFi’s role ends once the property qualifies for permanent financing.

Are there ‘permanent financing’ or ‘takeout financing’ requirements?

Yes. When applying for a construction loan, you’ll need a plan for permanent financing (a takeout lender or sales strategy). CoFi wants to know your exit strategy so we can structure the loan appropriately. This reduces risk for both parties.

Can I use CoFi as a bridge lender while I wait for permanent financing?

CoFi specializes in construction lending, not bridge financing. That said, CoFi’s loan terms are flexible and can accommodate project delays. If your permanent financing is slightly delayed, contact our team to discuss timing. For a project that needs pure bridge financing (non-construction), you’d want a dedicated bridge lender.

What do I need to qualify for a CoFi construction loan as an investor?

Typical documentation includes: personal financial statements, business financials (if applicable), credit history, project plans and budgets, proof of land ownership or purchase agreement, team/contractor qualifications, experience resume, and a permanent financing plan (takeout strategy). CoFi will provide a full checklist.

What’s CoFi’s loan-to-value (LTV) policy for construction loans?

LTV varies by project profile, location, and your equity position. CoFi may finance 80–90% of project costs or land value, depending on risk factors. Stronger projects and borrower profiles may qualify for higher LTVs.

Do I need to put down a deposit or minimum equity?

Most construction loans require 10–20% skin in the game (your equity). This aligns incentives and reduces risk. The exact requirement depends on your project, your financials, and market conditions.

How quickly can I get approved and funded?

CoFi prioritizes speed. Most approvals happen within 5–10 business days with complete documentation. Funding typically closes within 15–30 days of approval. CoFi’s streamlined underwriting moves faster than traditional banks.

I’m a first-time investor builder. Can I still qualify?

Yes. CoFi works with first-time investor/builders if your team is qualified, your project is sound, and your financials are strong. Having experienced contractors, architects, or project managers on your team helps offset limited personal development experience.

How do I apply as an investor?

Start by visiting cofilending.com and clicking “Apply Now” or contact our team at cofilending.com/contact. You’ll discuss your project, clarify loan needs, and receive an application checklist. Most applications are completed within 1–2 weeks.

Can CoFi finance projects in my state?

CoFi is licensed in California, Idaho, Oregon, and Utah. We primarily serve Mountain West and West Coast projects. If your project is outside these states, contact us to discuss options or learn about future expansion.

What’s the next step?

Contact CoFi with your project details. We’ll discuss loan options, timeline, and next steps. Our team is here to help you move from idea to funded construction.

Who do I contact with questions?

Contact us via our website at cofilending.com/contact or call our team directly. We’re here to answer questions about your specific project and help you move forward.