Building Construction Mortgage Loans are temporary financial arrangements that one uses to build a new home. Once construction is completed the construction loan converts to a regular mortgage. If you own the site you intend to build on it is possible to leverage the value of that site as equity in securing a construction loan. Normally when building a home the loan is considered part of a construction-to-permanent financing program. Interest on construction loans is normally linked to base rate or prime and is variable. Construction companies have a sales team reaching out to potential customers and qualifying leads. A marketing team creating presentations and promotional materials. And a website presenting their services and products.