Best Lenders for Construction Loans and Land Loans in Pennsylvania
We’ve compiled a list of the best lenders in Pennsylvania for construction loans (also known as temporary to permanent loans or temp-to-perm loans) and lot loans. Our list covers banks and lenders in all parts of the state including major cities like Philadelphia, Pittsburgh, and Allentown, in addition to smaller areas throughout the rest of Pennsylvania. The terms listed in the table below are accurate as of February, 2019.
Our table illustrates key criteria necessary for picking the best construction lender for your prefab dream home. The elements we've listed include:
Product offerings - construction loan/temporary to permanent loan, lot loan/land loan, 2-in-1 loan (most institutions still call this a construction loan even though it includes the lot purchase).
Loan to value (LTV) % / loan to cost (LTC) % - at its core, this is used to determine how much of your project must be paid in cash versus covered by a loan. For example, a loan to value of 80% would require a buyer to put at least 20% cash down. The difference between LTV and LTC (listed in the table for each lender) is: loan to value determines how much cash a borrower must put forth for the project in relation to the appraised, post-construction value of the project. Whereas, loan to cost is based off the contractor/builder quoted cost of the project. For example, a project may only cost $500,000 but its post construction appraisal may be more valuable at $600,000.
Requirements surrounding minimum credit scores - while most banks list minimum credit scores for certain products they note that they consider the entire lending profile. Therefore, some exceptions to this guideline may exist.
Debt to income ratio (DTI Ratio) - the percentage of an individual's gross income that goes towards paying debts
Maximum lending amounts - most banks set standard lending limits of $484,351 for their traditional loans, above this amount Jumbo lending rates may apply (if this product is available)
Approval times - this is often buyer dependent due to the multiple elements necessary to approve a given loan. The time periods listed are estimates based on the submission of a complete application
Other distinguishing features - for example, some banks offer rate reductions for regular banking customers. Also, some banks may only lend in their banking footprint - in this case specific counties are listed.
| Name | States | Construction Loan | Construction LTC/LTV Ratio | Land Loan Product | Land LTC/LTV Ratio | 2-in-1 Loan | Minimum Credit Score | DTI Ratio | Maximum Lending Amount | Underwriting Period |
|---|---|---|---|---|---|---|---|---|---|---|
| 1st Summit Bank | Pennsylvania | ✓ | 95% LTV | ✓ | 70% | ✓ | 640 | 43% | $453,100 (higher borrowing amounts requiring amounts require jumbo loan) | About 2 weeks |
| ACNB Bank | Pennsylvania, Maryland | ✓ | 97% LTV | ✓ | ✓ | 680 | 45% | 4-8 weeks | ||
| Andover Bank | Pennsylvania, Ohio | ✓ | 80% LTV | ✓ | 65% | ✓ | 660 | 50% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | About 4 weeks |
| Apollo Trust | Pennsylvania | ✓ | 80% LTV | ✓ | 80% | ✓ | 43% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 4-6 weeks | |
| Armstrong County Building and Loan Association | Pennsylvania | ✓ | 80% LTV | ✓ | 660 | 38% | 350,000 | 4-6 weeks | ||
| BB&T | Pennsylvania, Alabama, Georgia | ✓ | 80% LTV | ✓ | 700 | 43% | $2,000,000 | 4-6 weeks | ||
| Bellco Federal Credit Union | Pennsylvania | ✓ | 70% LTV | ✓ | 700 | 45% | $484,350 | |||
| CFS Bank | Pennsylvania | ✓ | 85% LTV | ✓ | 65% | ✓ | 40% | $484,350 | 6-8 weeks | |
| Citizens & Northern Bank | Pennsylvania, New York | ✓ | 95% LTV | ✓ | 75% | ✓ | 43% | $700,00 (higher borrowing amounts require a jumbo loan) | 4-6 weeks | |
| Citizens Bank | Pennsylvania, Connecticut, Massachusetts, Rhode Island, Delaware, Michigan, Ohio, New York, New Jersey, Vermont | ✓ | 90% LTV | ✓ | 660 | 45% | $750,000 | 4-6 weeks | ||
| Citizens Savings Bank | Pennsylvania | ✓ | 80% LTV | ✓ | ✓ | 38% | $600,000 | 4-6 weeks | ||
| CNB Bank | Pennsylvania, Ohio, New York | ✓ | 90% LTV | ✓ | 660 | 43% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 4-6 weeks | ||
| Community Bank N.A. | New York, Vermont, Pennsylvania | ✓ | 80% LTV | ✓ | 75% | ✓ | 42% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 4-6 weeks | |
| Corning Credit Union | Pennsylvania, Maryland, North Carolina, New York | ✓ | 80% LTV/LTC (whichever is less) | ✓ | 36% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 1 week | |||
| Dollar Bank | Pennsylvania, Ohio, Virginia | ✓ | 95% LTV | ✓ | 620 | 45% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | About 1 week | ||
| ESSA Bank & Trust | Pennsylvania | ✓ | 95% LTV | ✓ | 70% | ✓ | 680 | 40% | $424,000 (higher borrowing amounts requiring amounts require jumbo loan) | 1 week |
| F&M Trust Bank | Pennsylvania | ✓ | 90% LTV | ✓ | 75% | ✓ | 640 | 43% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 1 week |
| Fidelity Bank | Pennsylvania | ✓ | 80% LTC | ✓ | 75% | ✓ | 620 | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 1 week | |
| First Commonwealth Bank | Pennsylvania, Ohio, Kentucky, West Virginia | ✓ | 95% LTV | ✓ | 75% | ✓ | 640 | 50% | None (pending appropriate approval) | 4-6 weeks |
| First Heritage Federal Credit Union | Pennsylvania | ✓ | 70% LTV | 700 | 45% | $484,350 | About 2 weeks | |||
| First National Bank & Savings co | Pennsylvania | ✓ | 80% LTV | ✓ | 50% | ✓ | 43% | |||
| Firstrust Bank | Pennsylvania, New Jersey | ✓ | 70% LTV | ✓ | 700 | 43% | $1,000,000 | About 4 weeks | ||
| FNCB Bank | Pennsylvania | ✓ | 90% LTV | ✓ | 80% | ✓ | 45% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 1 week | |
| Franklin Mint Federal Credit Union | Pennsylvania, New Jersey, Delaware | ✓ | 95% LTV for permanent financing | ✓ | 45% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 2-3 weeks | |||
| Gratz Bank | Pennsylvania | ✓ | 80% LTV | ✓ | 60% | ✓ | 620 | 38% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | About 4 weeks |
| Home Savings Bank | Pennsylvania, Ohio, West Virginia, Kentucky, Indiana, Florida, Michigan, South Carolina | ✓ | 95% LTV | ✓ | 80% | ✓ | 660 | 45% | None (pending requisite approval) | About 4 weeks |
| Honesdale National Bank |
Pennsylvania, New York | ✓ | 90% LTV | ✓ | 80% | ✓ | 676 | 38% | None (pending requisite approval) | 4-6 weeks |
| Huntington National Bank | Florida, Illinois, Indiana, Michigan, Pennsylvania, New Jersey, Ohio, West Virginia, Wisconsin | ✓ | 90% LTV | ✓ | 80% | ✓ | 680 | 50% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | About 4 weeks |
| InFirst Bank | Pennsylvania | ✓ | 85% LTV | ✓ | 65% | ✓ | 680 | 40% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 4-8 weeks |
| Investment Savings Bank | Pennsylvania | ✓ | 97% LTV | ✓ | 65% | ✓ | 660 | 43% | $650,000 | 4-6 weeks |
| Jersey Shore State Bank | Pennsylvania | ✓ | 80% LTV | ✓ | 75% | ✓ | 620 | 50% | $750,000 | About 4 weeks |
| Jim Thorpe Neighborhood Bank | Pennsylvania | ✓ | 80% LTV | ✓ | 75% | ✓ | 43% | 4-6 weeks | ||
| Marion Center Bank | Pennsylvania | ✓ | 85% LTV | ✓ | 65% | ✓ | 625 | 38% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 4-6 weeks |
| Marquette Savings Bank | Pennsylvania | ✓ | 95% LTV | ✓ | ✓ | 38% | $484,350 | 4-6 weeks | ||
| MCS Bank | Pennsylvania | ✓ | 95% LTV | ✓ | 75% | ✓ | 620 | 43% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 4-8 weeks |
| Merchants Bank | Pennsylvania | ✓ | 95% LTV | ✓ | 80% | ✓ | 650 | 43% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 4-6 weeks |
| NBT Bank | Pennsylvania, New York, Maine, New Hampshire, Massachusetts, Vermont | ✓ | 90% LTV | ✓ | 70% | ✓ | 680 | 50% | Construction Loan - $1,000,000. Land Loan - $200,000 | 4-6 weeks |
| Patriot Federal Credit Union | Pennsylvania, Maryland | ✓ | 80% LTV | ✓ | 70% | ✓ | 700 | 45% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | About 4 weeks |
| Penncrest Bank | Pennsylvania | ✓ | 80% LTV | ✓ | 85% | ✓ | 660 | 43% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | About 4 weeks |
| Phoenixville Federal Bank & Trust | Pennsylvania | ✓ | 80% LTV | ✓ | 75% | ✓ | 660 | 40% | None (pending requisite approval) | 4-6 weeks |
| PS Bank | Pennsylvania | ✓ | 95% LTV | ✓ | 65% | ✓ | 620 | 38% | $484,350 | About 4 weeks |
| Reliance Bank | Pennsylvania | ✓ | 95% LTV | ✓ | 85% | ✓ | 620 | 45% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | About 4-6 weeks |
| Santander Bank | Connecticut, New Hampshire, New Jersey, Maryland, Massachusetts, Pennsylvania, Rhode Island, New York | ✓ | 80% LTV | ✓ | 660 | 41% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 4-6 weeks | ||
| Somerset Trust Company | Pennsylvania, Maryland | ✓ | 95% LTV | ✓ | 75% | ✓ | 660 | 43% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 4-6 weeks |
| Standard Bank | Pennsylvania | ✓ | 95% LTV | ✓ | 620 | 50% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | About 8 weeks | ||
| TD Bank | Pennsylvania, Florida, South Carolina, North Carolina, Virginia, Maryland, Delaware, New Jersey, New York, Massachusetts, Maine, Rhode Island, New Hampshire, Vermont, Connecticut | ✓ | 80% LTV | ✓ | 700 | 43% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | 4-6 weeks | ||
| U.S. Bank | California, Pennsylvania, Arizona, Arkansas, Colorado, Connecticut, Florida, Georgia, Idaho, Indiana, Illinois, Iowa, Kansas, Kentucky, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oregon, Rhode Island, South Dakota, Texas, Tennessee, Utah, Virginia, Washington, Wisconsin, Wyoming | ✓ | 90% LTV | ✓ | 80% | ✓ | 680 | 45% | None (pending requisite approval) | 4-6 weeks |
| Union Savings Bank | Pennsylvania,Ohio | ✓ | 80% LTC | ✓ | 80% | ✓ | 660 | 43% | $484,350 (higher borrowing amounts requiring amounts require jumbo loan) | About 2 weeks |
| Univest | Pennsylvania, New Jersey | ✓ | 90% LTV | ✓ | 75% | ✓ | 680 | 45% | $4,000,000 | 6-8 weeks |
| WSFS Bank | Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, Wyoming, Pennsylvania | ✓ | 80% LTV | ✓ | 70% | ✓ | 620 | 40% | Land Loan - $500,000, Construction Loan - $1,500,000 | 6-8 weeks |
If you have previously used a lender that is not on this list or if you are a lender that offers construction loans in this area and are not on this list, please contact us here.
