Construction-Only Loan
This type of loan is short-term and is usually issued for a year. It’s meant to cover the construction period. 

This type of loan is more difficult to qualify for, and the interest rate will likely be higher than a traditional loan.

Construction to Permanent Loan 
Construction-to-permanent loans are a financing option that prospective custom home builders often use. Like construction-only, construction-to-permanent financing are one-time loans that fund construction and then convert into a permanent mortgage. During the construction phase, borrowers make interest-only payments.

Rennovation Loan 
Renovation loans, also known as FHA 203(k) loans, can be used for home renovation and are insured by the Federal Housing Administration (FHA). This allows borrowers to both purchase and renovate their new home while still making one monthly payment to cover both costs. Conventional loan borrowers may qualify for these loans through Fannie Mae (HomeStyle Renovation) and Freddie Mac (CHOICE Renovation).

Owner-Bulder Loan
Usually when you build a home, there’s a general contractor who acts as head of the operation. They make sure the framing people, the tile people, the wood floor people, the painters, ect..  all work in coordination to get your home completed on time and within  your budget.

However, some prospective home builders wish to act as their own general contractor, and some banks offer owner-builder loans just for this purpose. These types of loans generally require the borrower to demonstrate through experience, education and licensing that they have the needed expertise to oversee the home’s construction.