Use Your Land as Equity Get Cash Out and Fund Construction
Own Land but Don’t Have the Capital to Build?
Use your land as equity, pull cash out, and fund construction without bringing in outside partners.
- Use land value toward your equity requirement
- Cash-out available at closing
- Finance construction from start to finish
- Maintain ownership and control of the deal
- Builder-focused structures
Built For Builders, Developers & Investors
Who This Is For
- Builders or developers who already own land
- Borrowers who want to build but lack construction capital
- Investors looking to avoid bringing in equity partners
- Land held free and clear or with low debt
- Projects ready or close to ready for development
Where Landowners Get Stuck
- Own a valuable lot but can’t access the equity
- No capital to start construction
- Banks require large cash injections
- Forced to bring in partners and give up ownership
- Land sitting idle instead of producing income
- Missed opportunities due to lack of funding
- No clear path from land to completed project
How We Turn Land Into Equity + Construction Capital
We evaluate the land value, project plan, construction budget, and exit strategy then structure financing that uses your land as equity while providing the capital needed to build.
- Use land value toward equity requirement
- Provide cash-out at closing where possible
- Finance construction through completion
The goal is to unlock your land’s value, eliminate the need for outside equity, and give you a clear path to build, complete, and exit the project.
Why Builders Use This Structure
- Build without bringing in partners
- Maintain full ownership of the project
- Unlock equity tied up in land
- Access capital to start construction
- Turn idle land into a profitable asset
- Scale into multiple projects over time
Deal Snapshot
Land Used as Equity + Cash-Out for Construction
Land Used as Equity + Cash-Out for Construction
The Situation
- Builder owned infill lot free and clear
- Land value: $220,000
- Planned duplex construction project
- Total project cost: $520,000
- Builder lacked liquidity to start construction
The Problem
- No capital for vertical construction
- Bank required significant cash injection
- Builder didn’t want to bring in equity partners
- Project stalled despite strong deal fundamentals
The Solution
- Used land as equity in the deal
- Structured construction loan around total project cost
- Provided cash-out at closing for soft costs and reserves
- Funded full construction budget
Terms / Outcome
- Loan amount: $300,000
- Leverage: ~95% of total cost
- Cash-out at closing: $120,000
- Term: 12 months
- Rate: 9%
- Builder retained full ownership and completed the project
More Scenarios & Case Studies
Need To Close Fast?
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Got Land Equity?
Build & Hold?
FAQ
How fast can you close?
Some deals can close in as little as 14–21 days depending on complexity.
Do I need to own the land free and clear?
Not always, but lower debt on the land improves structure and leverage.
Do you fund the full construction?
Yes
What type of projects qualify?
Ground-up residential and commercial projects
Can this work if my bank already said no?
Yes. Many of these scenarios don’t fit traditional lending guidelines.
What loan terms are typical?
Usually 12–24 months.
Have a similar deal?
Call Now To Discuss: 240-253-6003
or send details to Deals@verticalfunder.com