United States, September 4, 2025
News Summary
A nationwide private lender has increased leverage in its EasyBuild and Residential Transition Loan (RTL) programs to accelerate construction amid a national housing shortfall. EasyBuild maximums now rise to 90% loan‑to‑cost and 75% loan‑to‑value for qualified borrowers with at least three completed projects. RTL per‑unit limits jump to more than $5 million, with rates starting near 8.90%, no‑appraisal options, and potential 48‑hour closings on qualifying deals. The changes aim to give experienced builders more buying power while local ADU pilots and public programs remain important for smaller, affordable infill work.
Private lender raises new construction leverage and expands large‑deal limits amid tight U.S. housing market
What happened: A nationwide private lending platform announced immediate increases to its new‑construction loan limits and widened per‑unit caps for its broader residential transition loan lineup. The changes push new construction leverage to 90% loan‑to‑cost (LTC) and 75% loan‑to‑value (LTV) for experienced builders and lift per‑unit RTL limits from $2 million to over $5 million. The lender made one change public on Aug. 20, 2025 and the other on Sept. 3, 2025.
Key terms and who qualifies
The enhanced EasyBuild product now offers up to 90% LTC and 75% LTV but those top terms are reserved for borrowers that can demonstrate a track record of at least three completed construction projects. Previously the limits were 85% LTC and 70% LTV. The offer is aimed at experienced small‑to‑mid‑sized developers and investor‑builders who want to scale single‑family and multifamily ground‑up work with less upfront equity.
RTL expansion and speed features
The lender also expanded its Residential Transition Loan (RTL) program to permit financing of more than $5 million per unit on qualifying projects. Alongside the higher per‑unit caps, the RTL family lists features that include interest rates starting near 8.90%, no‑appraisal options on certain deals, and the ability to close in roughly 48 hours. The RTL family includes products for fix‑and‑flip and bridge loans as well as new construction, and the expanded limits are sized to support both single‑family and multi‑unit investments across most U.S. states.
Why the change now
The lender framed the updates as a response to widespread market pressure: home prices have hit record levels in recent months and many regions report a multi‑million‑unit shortfall versus housing demand. The combined effect of higher prices and investor activity has left some traditional lenders reluctant to take on large or fast‑moving deals, creating a niche for faster, more flexible private financing that targets experienced sponsors.
How the programs are pitched to investors
The lender positions the moves as tools for investors to pursue larger projects with lower upfront cash requirements, accelerate construction timelines and close quickly on deals where market windows are narrow. The product family also includes rental‑focused financing based on debt service coverage rather than full income‑verification, giving a broader set of options for buy‑and‑hold and transitional assets.
Local and sector context
At the municipal level, some cities are examining public programs to boost smaller‑scale infill housing such as accessory dwelling units (ADUs), but staff work has found that broad, publicly funded ADU programs risk limited uptake among the lowest‑income households unless substantial subsidies are provided. Local analysis shows pre‑development costs for ADUs can run from about $20,000 to $30,000 and that deeply affordable outcomes typically require targeted forgivable aid plus careful household selection. One city staff memo advised a modest pilot aimed at moderate‑income homeowners, with an estimated funding need in the neighborhood of $1.5 million for loans, staffing and outreach.
Other notable finance moves this year
Separately, a developer of large battery energy storage projects closed about $286 million in project financing in March to build two utility‑scale storage facilities totaling roughly 300 MW and 800 MWh; those projects are expected to enter commercial operation later in 2025. In the affordable housing space, a 324‑unit apartment community northeast of a major Texas city secured a roughly $60.4 million construction loan as part of a 4% low‑income housing tax credit development aimed at households earning under 60% of area median income. That project is slated for completion in early 2027 and includes resident services such as tutoring hours and on‑site amenities.
What this means for builders, investors and housing supply
- Experienced builders with completed track records can access higher leverage, which reduces their equity needs per project and can increase deal flow.
- Faster loan closings and higher per‑unit caps make it easier to pursue large or time‑sensitive projects, including higher‑priced single units or small multifamily deals.
- Public programs aimed at ADUs remain important for localized infill, but current staff analysis suggests those programs need targeted subsidy and outreach to reach low‑income homeowners and produce deeply affordable units.
- Overall, higher private lending capacity may help speed some development activity, but financing is only one factor among zoning, permitting, labor and materials that determine how fast housing supply grows.
Where to find more detailed terms
Full product details, eligibility rules and application instructions are available from the lender’s public materials and request channels.
Frequently Asked Questions
What are the new limits for new construction loans?
The top available terms are now 90% loan‑to‑cost and 75% loan‑to‑value for eligible borrowers with a minimum of three completed construction projects.
Who can qualify for the enhanced terms?
Borrowers who can document at least three completed construction deals and who meet the lender’s underwriting and experience checks are eligible for the highest leverage tiers.
What changed for the Residential Transition Loan program?
Per‑unit financing caps were raised from $2 million to over $5 million, widening the program’s ability to support larger single‑unit and small multifamily projects.
Do these programs close quickly?
Yes. The RTL product family emphasizes speed with options that can close in roughly 48 hours for qualifying transactions, alongside no‑appraisal options in some cases.
Will this solve the housing shortage?
Higher private lending capacity can help accelerate certain projects, especially for experienced builders, but it does not by itself resolve broader constraints such as land availability, zoning, permitting delays, labor shortages and materials costs.
Quick reference: key program features
| Program | New limits / features | Eligibility / notes |
|---|---|---|
| EasyBuild (new construction) | Up to 90% LTC / 75% LTV | Top terms for borrowers with 3+ completed construction projects |
| RTL (Residential Transition Loan) | Per‑unit caps > $5M; rates from ~8.90%; no‑appraisal options; 48‑hour closings | Supports single‑family and multi‑unit; designed for speed on large deals |
| EasyFix / EasyRent | Fix‑and‑flip, bridge, and DSCR rental financing | Part of the lender’s product family for investors and landlords |
Deeper Dive: News & Info About This Topic
Additional Resources
- Business Insider: Easy Street Capital increases leverage for new construction financing
- Wikipedia: Construction loan
- GlobeNewswire: Easy‑Street Capital increases Residential Transition Loan limits to over $5 million per unit
- Google Search: Easy Street Capital Residential Transition Loan limits
- GlobeNewswire (PDF): Easy‑Street Capital investor/materials download
- Google Scholar: construction loan leverage
- Austin Monitor: Housing staff suggest ADU pilot program aimed at 80% MFI households
- Encyclopedia Britannica: Accessory dwelling unit
- REBusinessOnline: Associated Bank provides $60.4M construction loan for metro Austin affordable housing project
- Google News: construction financing housing shortage
Author: Construction CA News
CALIFORNIA STAFF WRITER The CALIFORNIA STAFF WRITER represents the experienced team at constructioncanews.com, your go-to source for actionable local news and information in California and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Rose Parade, Coachella, Comic-Con, and the California State Fair. Our coverage extends to key organizations like the California Building Industry Association and Associated General Contractors of California, plus leading businesses in technology and entertainment that power the local economy such as Apple and Alphabet. As part of the broader network, including constructionnynews.com, constructiontxnews.com, and constructionflnews.com, we provide comprehensive, credible insights into the dynamic landscape across multiple states.
