Notice: In observance of Memorial Day, all SBSI locations will be closed Monday, May 27th, 2024. Normal business hours will resume Tuesday, May 28th, 2024.

Construction Loans

Backed by experts, local decisions and our satisfaction guarantee.

Build your dream home.

Thinking about building versus buying? Our construction experts can help guide you through every stage of the process, from lot purchase to permanent mortgage. 

  • One closing for every phase of construction
  • Local decisions and servicing
  • Full year to build your home
  • Interest-only payments during construction
  • Local decisions and servicing
  • Satisfaction guaranteed (or we’ll reimburse your closing costs)

Construction Loan Process

It’s critical for both you and your builder to know exactly where your budget stands at every stage. Your loan officer will make sure that happens.

  1. Work with a reliable lending partner. Your loan officer will help you narrow down your construction project options.
  2. Pay only interest for 12 months. During the construction period, you’ll only be required to pay interest on the amount you’ve drawn to date.
  3. Keep your mortgage here, no extra paperwork required. When construction is complete, you have the option to keep your Mortgage Loan with us or refinance into the secondary mortgage market.

Purchase Plus Improvement Program

Launch your home improvements project with our Purchase Plus Improvement (PPI) Program.

  • One closing. Once the PPI loan closes, we place funds in escrow to be disbursed throughout the project. When the project is completed, your loan continues seamlessly. No need to come back for a second closing.
  • Future value. Renovations add value to a home. We let you tap into that future value by asking our appraiser to consider the improvements you’ll make. Higher value equals higher loan amount. That means you get to keep more of your savings.
  • Projects of all sizes. Our program allows projects up to $75,000. If the costs and budget go beyond that, don’t worry. We can set you up with a full Construction Loan.
  • Local monitoring. Depending on the complexity of the project, we’ll either have it monitored by someone at the bank or our local construction consultant.

All loans are subject to credit approval.

The bank reserves the right to perform its due diligence assessment of the loan application and may modify the amount, or refrain from providing any financing, according to the results of its analysis. Generally, Saco & Biddeford Savings Institution provides lending services for properties located within our designated lending area. Please call one of our loan representatives for more information.


Meet the SBSI residential lending team

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