Get a home construction loan with F&M Mortgage.

F&M Mortgage works with builders and home buyers directly to ensure a seamless and user-friendly construction loan process, helping you and your clients build dreams into reality.

F&M Mortgage offers a unique Modular/Manufactured Program

Our unique Approved Builder Modular Construction Loan Program minimizes your construction loan costs and offers low down payment options to qualified borrowers.

F&M Mortgage and our parent company F&M Bank will handle both the permanent financing and the construction funding. We will work closely with your builder to help ensure a smooth process.

What is a home construction loan?

Sometimes the best way to get the house you want is to build it yourself. Home construction loans finance the expense of building a new house so that individuals and home builders can afford the costs associated with construction. After the house is complete the home construction loan can be converted into a permanent mortgage.

Also known as build loans or construction financing, these types of loans are short-term and payments may be interest only, reflecting the expectation that the loan will be refinanced after construction is complete. The total amount of your home building loan is usually paid out in intervals that correspond with each phase of construction. You only pay interest on the amount you’ve borrowed to date.

What are home construction loans used for?

Individual buyers, home building companies, and businesses can use construction loans to build homes or business structures on land they already own. Any building that will be eligible for a mortgage after construction will usually be eligible for a build loan.

What separates our construction loans from other financial institutions?

A community bank like F&M Bank is often your best bet for a home construction loan. Bigger banks are not as knowledgeable about the local real estate market and may be unwilling to take the risk on lending to individual buyers or small business home builders. Our commitment to investing in and meeting the needs of the Shenandoah Valley communities we serve makes our constructions loan terms stand out from the competition.

  • We offer competitive, fixed rates*.
  • Fast, local decision making from a trusted community bank.
  • Locally owned and operated since 1908, with strong knowledge of the local market area.
  • While some banks require a large down payment, we explore all avenues to offer our customers the best loan based on their individual circumstances.
  • We handle our inspections internally and locally, which saves time and money.
  • The relationship between F&M Bank and F&M Mortgage means we can work in tandem with our customers during the approval, building, and refinance phases, saving major headaches along the way.

From Harrisonburg to Staunton and across Augusta, Page, Rockingham, and Shenandoah counties, F&M Mortgage and F&M Bank are your local home construction lenders. Subject to credit approval.

NMLS# 414464 | NMLS# 275173

Rates* refer to Annual Percentage Rate. Home construction loan is subject to credit approval, and subject to change without notice.

Have Questions? Get In Touch

phone icon540-896-8941