Construction Loans in Hampton Roads Area

[Jacob Darrah]

Hi Virginian BP'ers!

My two partners and I are newbie investors in the Virginia Beach area and are trying to get started on our first deal. Through mutual friends we know a builder that has a set group of 6 or 7 floor plans he and his team build regularly, and so they know exactly what it costs and how long it takes for each one. We're really interesting in buying a cheap property to demo and spec build on the lot. 

Our realtor is pushing/advocating hard money lenders, but I was wondering if anyone has had experience getting a construction loan from a bank around here? If so, did they include purchase price of prior existing home? Just the land? LTC and interest rates? Any information would be helpful. Thanks so much!