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Program 04

Ground-Up Construction in Forney

Ground-up construction loans built for Forney's Gateway growth corridor.

USA Mortgage funds ground-up construction in Forney and across Kaufman County, up to 70% LTV and 85% of cost, with loans up to $5 million in most states. Forney assesses water, wastewater and roadway impact fees at platting and collects them at building permit issuance, a gap your draw schedule needs to carry. Permit revenue here still sits well off its FY2023 peak, so absorption is the constraint to underwrite, not entitlement. This is business-purpose capital for investors and companies building non-owner-occupied product, not a loan for your own home.

Ground-Up Construction in Forney, TX from USA Mortgage
70%
max LTV
85%
of cost
Most states
funding
$5M
max loan

Typical figures, subject to underwriting and market conditions. Not a commitment to lend.

How it works

We finance both the land and the vertical construction, with a draw schedule built around your timeline. Experienced builders can access higher leverage on cost.

Who it's for
Spec home builders
Developers and operators
Lot purchase or teardown
Build-to-rent strategies
Typical terms
Loan amountUp to $5M
LeverageUp to 70% LTV / 85% LTC
Term12 to 24 months
DrawsPer build schedule
RateFrom 10.00%*
UseSpec or build-to-rent
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*Typical terms, subject to underwriting and market conditions.

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Local FAQ

Ground-Up Construction in Forney, answered.

How do Forney's impact fees affect my construction draw schedule?
They land at platting and again at the building permit, so budget for both events. Forney assesses water and wastewater impact fees under Local Government Code Chapter 395 (adopted by Ordinance 22-05) plus a separate roadway impact fee. The city's own process assesses these fees at platting and collects them at issuance of the building permit, alongside building and meter fees. The published ordinance does not include the fee schedule itself, so confirm the per-lot dollar amount with the city before you finalize your draw budget.

Sources: forneytx.gov

Does Forney publish a permit review timeline for new construction?
No published day count exists, so build float into your schedule rather than a promise. The city describes a seven-stage development process for new construction but does not publish a turnaround target or an expedited review option. Plan your construction timeline and interest reserve around your own general contractor's estimate, not a city-stated number.

Sources: forneytx.gov

Is Forney's building market growing or slowing right now?
Permit activity has come off its peak, which changes how you underwrite absorption. Forney's Permits and Inspections revenue fell from $5,702,179 in FY2023 to $3,094,936 in FY2025, a decline of 45.7%, with FY2026 budgeted at roughly the same level. The city's own budget message ties an expected pickup to "growth in the Gateway area with several large projects in the planning stage." Underwrite your exit on how fast finished lots actually sell in your specific submarket, not on the county's population growth alone.

Sources: forneytx.gov

Could my lot sit inside a utility or municipal district I need to underwrite around?
In this county, assume it might until the CAD account says otherwise. The 2025 Kaufman CAD tax rate table lists twenty-one water, utility and improvement districts across the county, with several rates at or near 1.00 per $100 of value. Windmill Farms alone is served by three separate fresh water supply districts at three different rates. Confirm the specific district and rate on the parcel's CAD account before you finalize carrying costs on a build-to-hold exit.

Sources: kaufman-cad.org

If I plan to rent the finished home instead of selling it, what does Forney require?
A separate Rental Registration Certificate of Occupancy for that unit, renewed every January. Forney requires every rental unit in the city to register annually and pass an inspection, at a fee of $300 per single-family dwelling unit, with late fees starting at $150 for the first 30 days past deadline. Build the registration and inspection step into your hold-to-rent exit plan, not just your construction budget.

Sources: forneytx.gov

Is there still lot demand to support new spec construction in Forney?
The population growth behind that demand is real and unusually durable. Kaufman County is the fastest-growing county in the United States among counties of 100,000 or more people, adding 11,225 residents in the year to July 2025 alone. That growth is the demand case for new supply, but the city's own FY2026 budget states that the tax base grew on new construction while existing values decreased, so price your finished product against new construction comparables, not resale comparables.

More Ground-Up Construction questions, answered on the program page

Resources

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About the local figures on this page

Local rules move. Every tax rate, fee, ordinance and market figure here comes from a primary source and carries the date we read it, and we correct them as the rules change. Where a number is mid-change or we could not verify it, we say so rather than guess. Before you commit a budget, confirm anything that drives it with the city or county, and talk to your attorney or CPA on questions of law or tax.

Published by USA Mortgage Funding, LLC, NMLS #152588. Researched from primary sources by our team, drafted with AI assistance, and every figure checked against its source before publishing. Where an answer rests on a public record, that record is linked under it. Figures read on 2026-09-04.

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