VA Construction Loans in

California

If you’re a Veteran, Active-Duty Service Member, or eligible surviving spouse looking to build a home in California you’re in the right place. Our VA Construction Loan program offers a one-time close loan that covers both the construction and permanent mortgage—no separate closings, and no payments due during construction.

Why Use a VA Construction Loan in California?

Build Your Dream Home with a VA Construction Loan in California
Eligible Veterans can use their VA Construction Loan benefit to build a home in California—a great option for those retiring, relocating, or currently stationed in the area.

California offers a Mediterranean climate with coastal and mountain living and high home values and a strong VA healthcare network. Popular build areas include San Diego, Sacramento, Riverside, Bakersfield, Fresno. Whether you’re looking for modern suburban living or scenic retreats, this state provides a welcoming environment for Veterans and their families.

The state also offers property tax exemptions for qualified disabled Veterans. Learn more about California’s property tax exemption for Veterans.

No down payment required
No monthly mortgage payment during construction
Competitive VA rates with no PMI
One-time close to simplify the process
Use your VA benefit to build anywhere in California

Popular Cities to Build in California: San Diego, Sacramento, Riverside, Bakersfield, Fresno

Step by Step Process

Step 1

Get Pre-Approved

Step 2

Find land or use existing

Step 3

Choose your builder

Step 4

Work on Plans, Specs and Budget

Step 5

VA Appraisal

Step 6

Close the loan

Step 7

Construction Begins

Step 8

Loan Converts to Permanent

Frequently Asked Questions?

What is a VA Construction Loan?

A VA construction loan allows eligible veterans to finance the construction of a new home, including purchasing land if needed. It’s a One-Time Close (OTC) loan, meaning it combines the construction financing and permanent mortgage into a single transaction.

What are the benefits of a VA Construction Loan?

No second closing is required; everything is done upfront.
No mortgage payments during the construction period.
The loan is locked at the start with no need for a second appraisal after construction.
Extended lock periods up to 360 days with rate float-down options.
Construction loans are serviced in-house, ensuring a smooth process.
Soft costs and interest reserves are included in the loan.
Contingency funds (minimum 2%) are built into the loan to cover unexpected expenses.

What property types are eligible?

VA construction loans can be used for:

Site-built, single-family detached homes.
Modular homes, log homes, and barndominiums.
Manufactured homes (multi-width only; single-width- requires an exception).
Homes with accessory dwelling units (ADUs) built simultaneously with the primary residence.

Ineligible properties include container homes.

Our Projects

Modern Barn House

On 25 acres near Tyler, TX, this Veteran is building an efficient modern barn house and insulated shop using a VA One-Time Close Construction Loan. With no down payment and Allegretto Homes guiding the build, this project delivers flexible living and workspace in one smart plan.

Custom Home in Henderson County, TX

A Veteran family in Henderson County, TX is building a 3,671 sq ft custom home using a VA One-Time Close Construction Loan. With land already owned and Floor Plans & More LLC handling the build, this project shows how VA benefits make homeownership simple, affordable, and personal.

Generational Luxury Home

In Heath, TX, a Veteran is building a 6,500 sq ft luxury home using a VA One-Time Close Jumbo Construction Loan. With land and construction financed in one step and BLR Contracting at the helm, this project showcases upscale, multi-generational living at its finest.

Modern Farmhouse

On 20 acres in Huntington, TX, a Veteran is building a custom 2,500 sq ft modern farmhouse using a VA One-Time Close Construction Loan. With land already owned and Petty Construction managing the build, this project blends style, durability, and zero-down financing.

Stick Build Home + Metal Workshop

Discover how a retired Veteran in Ralls, TX is using a VA One-Time Close Construction Loan to build a custom home and workshop on owned land—zero down, one closing, and built to last.

Contact a VA Construction Specialist

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Shirley Mueller

Sr. VP of Veteran Lending

NMLS ID: 336103

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Applicant subject to credit and underwriting approval. Not all applicants will be approved for financing. Recipt of application does not represent an approval for financing or interest rate gurantee. Restrictions may apply, contact CrossCountry Mortgage for current rates and for more information.

CrossCountry Mortgage, LLC is not affiliated with or acting on behalf of or at the direction of the Veteran Affairs Office or any government agency.

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