Financing
Financing Your Custom Home, Barndominium or Building
Most customers finance part of their project. Here is how it usually works, what lenders ask for, and the financing options available through Bama-Barns.
Apply Through HFS Financial
Bama-Barns offers access to financing through HFS Financial for eligible projects. Apply online and review your options before you finalize your plans.
- Online application
- Home improvement and building loan options
- Fixed-rate options where available
- Terms based on lender offers and your qualifications
Financing is subject to lender approval. Rates, fees, terms, loan amounts and eligibility vary. Bama-Barns does not make lending decisions or guarantee approval.
How Construction Loans Usually Work
New homes and barndominiums are often financed with a construction loan. Instead of paying the full amount up front, the lender releases funds in draws as stages of the project are completed and inspected.
Some customers already own their land; others buy property as part of the financing process. Either way, talk with lenders early so you know your budget before the design is final.
Learn more in how much it costs to build in Alabama.
What a Construction Lender May Ask For
A lender usually needs much more information than someone building entirely with cash. Expect requests for:
- Completed plans
- Specifications
- Construction contract
- Appraisal
- Builder documentation and license
- Draw schedule
- Inspections
- Land equity
- Down payment
We provide the plans, specifications, contract and builder documents lenders need, and work with your lender's draw schedule. Getting the lender involved early prevents redesigns and delays later.
Financing Questions
Can I finance a barndominium?
Yes, many barndominiums are financed. Some lenders and appraisers are very familiar with post-frame homes and some are not, so share your framing method and plans with your lender early.
Do I need to own my land first?
Not always. Some loans include the land purchase. If you already own the land, its equity may help with the down payment, depending on the lender.
Should I talk to a lender before getting a quote?
Ideally, talk to both at the same time. Knowing your approved budget helps us design a home you can actually finance, and your lender will need our quote and plans to move forward.
Ready to build on your land?
Custom homes, barndominiums and pole barns across North Alabama. Tell us about your project and property.