Austin, Texas, September 5, 2025
News Summary
Easy Street Capital, an Austin-based private lender, has increased leverage on its EasyBuild construction product to offer up to 90% Loan-to-Cost (LTC) and 75% Loan-to-Value (LTV) for borrowers who have completed at least three construction projects. The change raises previous caps of 85% LTC and 70% LTV and aims to reduce required upfront equity, accelerate funding, and enable larger single-family and multifamily developments. Access is limited to experienced sponsors and tied to standard underwriting safeguards — documented budgets, schedules and past performance — to balance faster deployment of capital with risk controls.
Private lender raises construction leverage to let experienced builders use less equity
A national private lender based in Austin, Texas, has increased how much it will lend on new residential construction, allowing seasoned builders to move forward with less cash up front. The change takes effect immediately and raises maximum financing to 90% Loan‑to‑Cost (LTC) and 75% Loan‑to‑Value (LTV) for qualified borrowers.
What changed and who can use it
The lender’s updated product, aimed at experienced residential developers and investor‑builders, raises previous limits that were 85% LTC and 70% LTV. To qualify for the higher leverage, borrowers must have a proven track record of at least three completed construction projects. The program is designed to support both single‑family home builds and multifamily units and is intended to speed up project starts by reducing the need for large equity checks.
Why the change now
The move responds to tight housing supply across the country. Recent market research points to a shortfall of roughly 4.7 million homes, and lenders and builders are under pressure to accelerate new construction to narrow that gap. The lender says the revised terms are meant to provide experienced developers with more financial flexibility to scale building activity and help close the supply shortfall.
Program details and how it works
The enhanced product is part of an existing program for new construction financing. Key features include rapid funding for ground‑up projects, options for both single‑family and multifamily construction, and loan structures that can be tailored to project size and schedule. The lender states it emphasizes streamlined underwriting processes and competitive market rates while offering personalized structuring to match project needs.
Eligibility and underwriting focus
Borrowers aiming for the top leverage tier must show a track record of at least three completed development or construction deals. Underwriting will look at project budgets, expected sales or rental income, borrower experience, and local market fundamentals. The program is pitched to experienced investors who plan larger or multiple projects and prefer to preserve capital by using higher construction financing percentages.
Market context and likely impacts
By boosting LTC and LTV thresholds for qualified builders, the lender is betting that more projects will clear early financing hurdles. In practice, that can speed delivery of new housing units, since developers can commit less equity and move faster from planning to construction. The change may particularly benefit projects where land and hard costs are predictable and where sponsors have demonstrated delivery success.
Availability and footprint
The lender operates nationwide from its Austin headquarters and offers the updated product across its footprint. It describes the change as part of a larger suite of financing options available to real estate investors, with the aim of supporting projects across different markets and product types.
More information
The announcement indicates additional program details and application steps are available through the lender’s investor resources online. Interested developers should review eligibility requirements and prepare documentation showing prior project experience before applying.
Frequently asked questions
Who qualifies for the higher 90% LTC and 75% LTV?
Builders or investor‑developers with at least three completed construction projects are eligible to apply for the top leverage levels, subject to standard underwriting and market review.
What do LTC and LTV mean for a construction loan?
Loan‑to‑Cost (LTC) measures the loan amount versus the total project cost (land plus hard and soft costs). Loan‑to‑Value (LTV) compares the loan to the finished property’s estimated value. Higher LTC reduces how much equity a builder must bring to cover project costs.
Are both single‑family and multifamily projects eligible?
Yes. The program is structured to fund both single‑family homes and multifamily units, with loan terms and structures tailored by project type.
How do these new terms differ from prior limits?
The lender increased the top LTC from 85% to 90% and the top LTV from 70% to 75%, enabling experienced borrowers to finance a larger share of project costs.
What should borrowers prepare for the application?
Expect to provide evidence of prior completed projects, detailed project budgets and schedules, pro forma valuations, and documentation of borrower qualifications. Projects will be underwritten based on cost accuracy, market demand, and sponsor experience.
Key features at a glance
| Feature | New terms | Prior terms | Notes |
|---|---|---|---|
| Maximum LTC | 90% | 85% | Reduces upfront equity required for construction budgets. |
| Maximum LTV | 75% | 70% | Raises loan share based on expected finished value. |
| Eligibility | Minimum of three completed construction projects | Used to verify delivery experience and lower development risk. | |
| Project types | Single‑family and multifamily | Funding available for ground‑up residential projects. | |
| Availability | Nationwide (from Austin headquarters) | Offered across the lender’s footprint with tailored loan options. | |
| Purpose | Accelerate residential construction | Program aims to address the national housing shortfall by enabling faster starts. | |
Deeper Dive: News & Info About This Topic
Additional Resources
- Morningstar/GlobeNewswire: Easy Street Capital increases leverage for new construction financing
- Wikipedia: Construction loan
- PR Newswire: Jupiter Power secures $286M construction financing for utility-scale battery projects
- Google Search: Jupiter Power construction financing battery energy storage
- REBusinessOnline: Associated Bank provides $60.4M construction loan for Metro Austin affordable housing
- Google Scholar: Associated Bank construction loan affordable housing Austin
- JLL: Construction financing secured for industrial development
- Encyclopedia Britannica: industrial development
- Multi-Housing News: Buying borrowers some extra time — condo inventory lending
- Google News: condo inventory lending
