Financing for New Construction?

[Anna Hammerle]

Hello BiggerPocketeers,

I am still a new investor with three SFHs.  I recently came up with an idea to buy a small piece of land, 1/4-1/3 acre and build a small house (300-400 sq.ft), as a rental.  The total investment I had in mind was between $50,000-70,000.  However, my lender tells me they will not extend a construction loan on an investment property.. Does anyone know if there are lenders out there that do this?  I would love to get any feedback as well as suggestions on how and if I would be able to do this.

[Julie Marquez]

@Anna Hammerle Why not? Why did you just ask one lender, are there other banks and lenders in your area? Just go to 10 other local banks in your area and ask them. Everyone is different with different criteria, you've just got to ask.