Even though 2016 saw an increase in housing starts, traditional financing may still be challenging to secure for these construction projects.
Banks’ lending policies have been tightened, and the process for obtaining project financing has been extended even for established contractors and construction companies. The criteria for building finance, which was once very broad, now include the following: For any commercial or residential project has changed over the past decade to more specific financing that is only available for pre-sold homes and offices. Speculative builds.
The Impact of the Construction Industry on the U.S. Economy
It is hard to quantify the full impact of the construction industry on the U.S. economic system. According to Associated Builders and Contractors, Inc., the industry’s contribution has yet to return to its prior robust metrics. Projections do not reflect actual construction activity.
Rising demand for heavy equipment and building supplies
They need to consider the effect these starts have on demand for building materials such as sand, gravel, cement, wallboard, heavy machinery, financial and other services, sales, leasing, and personnel.
Puts the industry’s overall value in a better light. Construction is a vital part of the economy. It supports many other industries and businesses, making it even more critical.
Reliable Builder Financing Sources
Banks don’t consider growth projections when making their financing decisions for builders. Other financing companies like Commercial Lending USA base their financing decisions on a broader market segment, which includes increased demand for services and building materials.
This alternative approach is not compatible with bank lending criteria. Applicants are disqualified if they have no real estate collateral or poor credit history.
National can assist people with bad credit and no collateral to get financing. There are no upfront fees. The application process takes approximately 60 seconds. There is far less documentation required. This makes it easier to approve applicants within 24 hours.
Business is the backbone of our economy. Solid financing is essential for any business to succeed. It is, therefore, a good business practice to establish a business relationship and trust with a trusted financing company.
Get Fast Alternative Construction Financing
Alternatives To Construction Loans National has been a trusted partner for many businesses across nearly all industries, realizing the importance of financial security to ensure their success.
For a confidential review of your business, call us at (571) 544-6600 to learn more about alternative construction financing with Commercial Lending USA.