Skip to main content
Apply nowApply now
Direct private lending in most states
Call us anytime at 512-617-9400
Program 03
Ground-Up Construction in Spokane
Ground up construction loans that build to Spokane's colder code.
USA Mortgage funds ground-up construction for Spokane spec builders and developers, up to 70% LTV and 85% of cost, with draws that keep pace with the job. Site selection here is a permitting question: Spokane Valley targets a 10-business-day review on commercial projects, while the City of Spokane is currently quoting four to five weeks to first comments. Budget your envelope and mechanical costs to Spokane County's colder climate zone, not to a west-side comparable. Business-purpose only, and every structure is set in underwriting.
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
*Typical terms, subject to underwriting and market conditions.
Run your Ground-Up Construction numbers.
Pressure-test the deal in seconds with our free construction loan calculator, no sign-up required.
Local FAQ
Ground-Up Construction in Spokane, answered.
Spokane Valley advertises faster permitting. How much faster is a ground-up build there than in the City of Spokane?
Spokane Valley publishes a target and the City of Spokane publishes an actual backlog, and they are not the same kind of number. Spokane Valley's own site sets a 10-business-day target review date for all commercial projects, including new developments. The City of Spokane's own site currently quotes 4 to 5 weeks to first review comments, split between 4 weeks on the commercial short route, 5 weeks on the commercial long route, and 4 weeks on residential new single-family and duplex, each with 10-day revision turnarounds. Spokane Valley does not publish a residential review timeline at all, so we cannot tell you it runs faster on a house, only that its commercial target beats the City's current commercial queue. Site your build accordingly and confirm both dates before you lock a construction schedule.
Do impact fees change where a spec build pencils in this metro?
Yes, and the two cities structure them completely differently. The City of Spokane charges transportation impact fees citywide, by district, under SMC 17D.075. Spokane Valley charges them only inside three subareas: the South Barker Corridor, the Mirabeau Subarea, and the North Pines Road Subarea, chosen as the city's highest-growth corridors. Outside those three areas, Spokane Valley charges no transportation impact fee at all. Current per-unit dollar amounts were not available to confirm for either city, so budget the fee as a site-selection variable and get the current schedule from the jurisdiction before you underwrite the pad cost.
Is there a property tax break for building multifamily in Spokane?
There is a real one, though the fine print needs to come from the City before you rely on it. Chapter 84.14 RCW, adopted locally as City of Spokane Ordinance C-32575, exempts the improvement value on new or rehabilitated buildings of four or more dwelling units inside a defined urban center from property tax for eight, ten, or twelve years. It is the largest single tax lever available on a Spokane infill multifamily deal. The exact urban-center boundaries, the affordability conditions tied to the longer terms, and the application deadline were not confirmed for this page, so verify all three with the City of Spokane before you count on a specific term length in your pro forma.
Does building in Spokane cost more per square foot than a west-side Washington build?
The envelope and mechanical line does, and it is a code requirement, not a guess. Spokane County sits in climate zone 5B under the Washington State Energy Code, while King, Pierce, and Clark counties are zone 4C. The design conditions make the gap concrete: Spokane's winter design temperature is 4 degrees Fahrenheit against 24 degrees at Seattle-SeaTac, which means more ceiling and attic insulation and more capable heating equipment than a Puget Sound comparable would tell you to budget. The offset is that Spokane sits outside the marine moisture regime, so the rain-screen and drainage detailing that drives west-side envelope cost is a smaller line here. Price your draw schedule to the colder code, not to a Seattle spec sheet.
A new build I finish in Spokane, is it subject to the statewide rent cap once I lease it up?
No, not right away. Washington caps annual rent increases on covered tenancies statewide at 7% plus CPI or 10%, whichever is less (9.683% for calendar 2026), but a building is exempt from that cap for the first 12 years after its first certificate of occupancy. A Spokane spec build completed this year stays outside the cap through roughly its first decade of leasing, which gives a build-to-rent exit into a DSCR rental loan real room to set market rent before the statewide formula applies. Plan your hold and any refinance around that window, and confirm the certificate-of-occupancy date before you rely on it.
Property taxes are rising in Spokane County. Does that matter during a construction hold?
It matters more than a flip hold, because a build takes longer and rides more of the increase. Spokane County's average incorporated levy rate rose from 9.4422 per $1,000 in 2024 to 10.1188 in 2026, and property is reassessed annually to true and fair value with no acquisition-triggered reset. Spokane voters also approved a 20-year lid-lift levy beginning in 2026, so the city's rate is on a rising path by design, not by accident. On the flip side, there is no California-style step-up waiting for your buyer either: your exit buyer inherits the same predictable, annually-revalued basis you carried. Underwrite a construction-period tax line that assumes the rate keeps climbing, not one that assumes it holds flat.
How much of a Spokane build do I have to fund myself?
Roughly 15% of cost. We fund up to 85% of total cost and up to 70% of value, whichever binds first. On a $600,000 Spokane project that is up to $510,000 from us and $90,000 from you (600,000 x 85% = 510,000), released in draws against the build schedule rather than in one advance. Price the envelope and mechanical line to Spokane County's climate zone 5B and its 4-degree winter design temperature, not to a Puget Sound spec sheet, or the cost side of that ratio comes in light. Subject to underwriting.
Do I need a build history to get a Spokane construction loan?
No, but it changes the leverage. Experienced builders can access higher leverage, so a first Spokane project prices to a lower point instead of drawing a decline. The loan qualifies off the project and the collateral rather than W-2s or pay stubs, and we run credit without a minimum score gating an asset-based file. Term is 12 to 24 months, which has to absorb the permit queue: the City of Spokane currently quotes about 4 weeks to first review comments on new single-family and duplex work. Subject to underwriting.
How large a ground up construction loan will you write in Spokane?
Up to $5M, on spec or build-to-rent projects alike, at up to 70% LTV and 85% LTC over a 12 to 24 month term with draws per the build schedule. Where the pad sits changes the budget more than the loan size does: the City of Spokane charges transportation impact fees citywide by district, while Spokane Valley charges them only in the South Barker, Mirabeau and North Pines subareas. Subject to underwriting.
More Ground-Up Construction questions, answered on the program page
Resources
Guides for Ground-Up Construction
Fix and Flip · 6 min read
Fix and Flip Loan Requirements: What You Need to Get Funded
Read the guide Fix and Flip · 5 min read
What Is ARV (After-Repair Value) and How Do You Calculate It?
Read the guide Construction · 5 min read
How Ground-Up Construction Loans Work
Read the guide Getting Funded · 4 min read
LTV vs LTC: What's the Difference?
Read the guide More in Spokane
Other programs in Spokane
Fix and FlipUp to 90% / 100% rehabRental / DSCR30-yr fixed, DSCR from 0.75CRE BridgeUp to $10M, 24-36 moTransactional FundingSame-day double-close capitalBank Statement / No-DocNo tax returns requiredConventional InvestmentNon-owner-occupied investmentPortfolio LoansMultiple properties, one loanCRE PermanentLong-term agency & permSBA Financing7(a) & 504 placement
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 2026-08-15.
Funding Spokane deals fast.
Get real terms, usually same day. No obligation, no hard credit pull to start.