Construction Loans on Hawaiʻi Island
Construction on Hawaiʻi Island has its own logistics, from material shipping to county inspection schedules. We build draw schedules around the way projects actually progress on Hawaiʻi Island.
- No credit minimum
- Same-day quote
- Close in days
- All six islands
The Old King Kalākaua Building · 1407 Kalākaua Avenue, Honolulu · Open 7 days a week by appointment
- Leverage
- Up to 70% of completed value
- Draws
- Released on inspection milestones
- Rate
- About 12% a year (1% a month), interest only on drawn funds
- Term
- 12 to 24 months
- Projects
- Ground-up, ADU, rebuild, heavy renovation
- Land
- Owned or purchased at closing
Using a construction loan on Hawaiʻi Island
Bank construction loans in Hawaiʻi are slow, document-heavy and often unavailable to investors. Our construction loans fund the build in draws tied to inspections, so you only pay interest on what you have used.
Hawaiʻi Island is larger than all the other islands combined and its real estate reflects that range. Kona and Waikoloa carry resort and second-home values, Hilo offers older homes with deep renovation upside, and Puna has the lowest-priced buildable lots in the state.
Where this loan works best on Hawaiʻi Island
- Kailua-Kona. Second-home and resort demand, ocean-view renovations.
- Waikoloa and Waimea. Golf-course subdivisions and Waimea ranch homes with strong resale.
- Hilo. Historic homes near the university and hospital, rental-driven flips.
- Puna (Keaʻau, Pāhoa, Hawaiian Paradise Park). Lowest-cost lots in the state, ground-up construction loans.
- Captain Cook and Kealakekua. Coffee-belt properties with ag zoning and ohana potential.
Hawaiʻi Island specifics we underwrite
Hawaiʻi County processes permits through its EPIC online system. Rural subdivisions like Hawaiian Paradise Park have private road and catchment considerations that affect valuation. Lava zone classification affects insurability and therefore exit financing for your buyer.
Hawaiʻi County adopted an ordinance in 2024 allowing additional dwelling units on most residential and agricultural lots subject to wastewater capacity. This has opened a wave of ohana builds in Hilo, Kona and Waimea that we finance in draws.
How we fund in Hawaiʻi Island
Tell us about the property
Island, property type, purchase price, estimated after-repair value and your exit plan. Takes two minutes and needs no personal financial documents.
Same-day quote
We come back with loan amount, rate and structure. No committee, no runaround.
Property evaluation
We inspect the asset and verify title. Local knowledge means this step moves fast.
Fund and close
Sign documents, record the deed of trust, receive funds. Pay interest only until you sell or refinance.
Hawaiʻi Island construction loans questions
Straight answers. If yours is not here, call 808-523-2000 and talk to a decision maker.
Do you fund the land purchase too?
Yes. We can fund the lot at closing and the construction in draws afterwards on one loan.
Can I be an owner-builder?
Yes, with a realistic budget and schedule. Licensed contractor projects generally qualify for higher leverage.
How do draws work?
You request a draw at each milestone. We inspect, then release funds within days. You pay interest only on funds released.
Do you lend in lava zones on the Big Island?
We lend in zones 3 and above without restriction. For zones 1 and 2 we look closely at your exit, because end buyers often cannot get conventional financing there.
Can I get a construction loan for a lot in Puna?
Yes. Ground-up construction loans in Hawaiian Paradise Park, Keaʻau and surrounding subdivisions are common for us. We release funds in draws tied to inspections.
Same-day quote for Hawaiʻi Island
Two minutes. No credit pull, no documents. Get an instant estimate and a same-day quote from a lender that actually closes in Hawaiʻi.