| For | Builders with overlapping ground-up projects |
| Separate | Committed debt, drawn debt and remaining cost to complete |
| Prepare | A project-by-project schedule and combined cash plan |
Financing several spec homes requires a builder-level plan as well as a budget for each house. A project can look sound individually while the combined schedule runs short of cash. Compare all outstanding loans, undrawn commitments, upcoming contractor payments and expected sale dates before committing to the next start.
Stonehaven helps builders structure construction requests as a mortgage broker. We can review single projects and multi-project scenarios. A discussion of exposure does not establish a committed credit line or approval for future properties.
Individual loans, an exposure limit and a revolving line are different
| Structure | What to clarify |
|---|---|
| Individual project loans | Each loan has its own collateral, budget, conditions and payoff. |
| Builder exposure limit | An overall limit may cap commitments across several loans; each property can still need approval. |
| Blanket loan | Several properties secure one facility; review release terms and cross-collateralization. |
| Revolving construction line | Ask whether repaid funds can actually be borrowed again, for which projects and during what period. |
Do not assume that a conversation about an exposure limit makes it a binding facility. Ask whether the limit measures original commitments, drawn balances or another definition, and what could cause it to change.
A simple three-project schedule
This hypothetical example separates current borrowing from future obligations. It does not describe an available Stonehaven facility.
| Project | Loan commitment | Drawn balance | Remaining commitment |
|---|---|---|---|
| A: framing | $800,000 | $350,000 | $450,000 |
| B: foundation | $800,000 | $200,000 | $600,000 |
| C: ready to start | $800,000 | $0 | $800,000 |
| Total | $2,400,000 | $550,000 | $1,850,000 |
The $1,850,000 remaining commitment is not free cash for another property. It is allocated to the existing projects and subject to their conditions. If each project needs $70,000 of unreimbursed working cash during the same month, the combined temporary need is $210,000. If one project’s sale slips, do not continue counting those expected proceeds as available funding for the next start.
What belongs on the builder schedule?
- Project address or identifier, ownership entity and business purpose.
- Total cost, remaining cost to complete, committed debt and drawn balance.
- Permit status, construction stage and expected completion.
- Unsold, under a buyer contract or closed, with the basis for each sale date.
- Monthly cash contributions, upcoming draws and debt payments.
- Maturity, extension conditions and any proposed property release.
Use the same date for all figures. A three-month-old payoff combined with a current budget can make total exposure look more comfortable than it is. Keep bank statements and sensitive financial documents for the secure document stage.
Can selling one home fund the next?
Possibly, but confirm the loan’s required release payment and actual net sale proceeds. A sale under a blanket loan may require a specified paydown before the property is released. Remaining proceeds may still need to cover expenses or satisfy covenants. Review the release-price guide and distinguish finished-lot releases from completed-home sales.
When phased starts help
Compare an all-at-once plan with a staged plan that starts the next home after a documented milestone. Test what happens if sales slow, trade crews are unavailable or inspections delay a draw. The objective is to find the most projects the team and cash plan can support, rather than the highest number of simultaneous starts on paper.
If roads, drainage or utilities remain unfinished, separate the horizontal development financing from the vertical-home request. Calling a subdivision shovel-ready does not resolve those costs.
How Stonehaven can help
Send the project count, locations, total budget, requested facility or loans, current debt and timing. We help organize the combined request and identify questions about collateral, guarantees, draw conditions and exits. Start with the construction financing inquiry.
Source and scope
The interagency residential tract-development guidance addresses appraisal and loan-to-value considerations for financed developments. It does not establish a universal builder exposure multiple, revolving commitment or Stonehaven product. Reviewed October 21, 2026. The schedules and questions above are planning tools, not legal interpretations of a loan agreement.