Fairway’s Single-Close Construction Loan streamlines the entire build process with one convenient closing that covers land, construction, and permanent financing—saving time and reducing risk for both builders and buyers. During construction, payments are interest-only, then the loan automatically converts to permanent financing once the home is complete. Builders benefit from centralized draw management with clear milestones, predictable disbursements, and a responsive construction team that keeps projects moving. Buyers enjoy fewer moving parts, rate protection options, and the simplicity of one closing before construction begins. Available for site-built, modular, and eligible manufactured homes, Single-Close delivers faster sales cycles, fewer cancellations, and smoother coordination from start to finish—making it the preferred choice for builders and homebuyers alike.
Why builders prefer Single‑Close with Fairway.com
- One closing that covers land, construction, and permanent loan
- Interest‑only during the build, then automatic conversion to permanent financing at completion
- Centralized draw management with clear milestones and inspections
- Rate protection options available based on product and market
- Fewer moving parts for your buyer and your back office
How it works for buyers
- Prequalify the buyer and register the build.
- Approve the builder with Fairway.
- Underwrite plans, specs, budget, and comps.
- Close once before the first shovel hits dirt.
- Draws fund to the project per approved schedule.
- Certificate of Occupancy triggers conversion to the permanent loan.
Builder benefits
- Faster sales cycle and fewer cancellations at second close
- Predictable draws and title updates keep subs moving
- Clear change‑order process and contingency handling
- Dedicated construction team that answers the phone
Eligible property types
- Site‑built homes
- Modular homes
- Manufactured homes, if eligible under investor and property guidelines
Product availability can vary by state and scenario. All loans are subject to credit approval and collateral review.
Factory‑built homes: builder guide
Factory‑built homes can shorten cycle time and improve cost control. We support modular and manufactured homes that meet investor and property standards.
Modular homes (built to IRC)
- Built in sections in a factory and assembled on site
- Typically treated as real property using standard appraisal approaches
- Permanent foundation required per plans and local code
- Draws aligned to factory progress, set, and finish
- Documentation: plans, specs, manufacturer package, engineered foundation details, installation plan, contractor credentials
Manufactured homes (built to HUD Code)
- Transportable sections with HUD certification labels and data plate
- Must be titled as real property and installed on a permanent foundation
- Engineering certification and installation documents may be required
- Appraisal requires comparable manufactured homes
- Documentation: HUD labels and data plate, installation docs, engineer foundation cert, contractor credentials
Draw management
- Draw schedule set at underwriting and tied to verified milestones
- Title updates and lien waivers required with each draw
- Inspections ordered by the construction team to validate progress
- Change orders reviewed and approved before funding
- Retainage may apply until final completion
Expect standard milestones such as site prep, foundation, dry‑in, mechanicals, finishes, and final. Factory‑built projects add set and finish milestones.
Fast track your builder approval
- Start here: fairwaycontractorreview.com
- Typical documentation
- W‑9 and business information
- State or local contractor license where required
- General Liability Insurance
- Workmans comp if applicable
- Trade references and recent project list
Or download the contractor packet and email to constructionlending@fairwaymc.com
What to expect
- Review for experience, licensing, insurance, and capacity
- You will receive approved scopes and limits for clarity on what we can green‑light quickly
FAQs for builders
How many draws are available?
This varies based on the projects construction cost. If a contractor request a draw schedule in excess of the allocated amount, it should be noted in the construction contract with the proposed draw schedule as submitted by the contractor.
Draw count follows the approved schedule and scope. Fewer, well‑timed draws reduce paperwork and keep work moving.
How are change orders handled?
Submit change orders before the work is started. If contingency funds are available, change orders may be approved using available contingency funds. We update the budget and schedule.
Can soft costs be financed?
Soft costs can be eligible if included in the approved budget and within product limits.
What about lot equity?
Verified lot equity can count toward required funds if it meets valuation and title requirements.
How long are locks?
Locks are through completion/ modification with a review for a free float down when there has been market improvement. Talk to the construction team for the current menu.
Who orders inspections?
Our draw administration team orders third‑party inspections that match draw milestones. Inspections can be done in person, virtually or via contractor mobile app photo upload.
*Pre-approval is based on a preliminary review of credit information provided to Fairway Independent Mortgage Corporation, which has not been reviewed by underwriting. If you have submitted verifying documentation, you have done so voluntarily. Final loan approval is subject to a full underwriting review of support documentation including, but not limited to, applicants’ creditworthiness, assets, income information, and a satisfactory appraisal.
