Are luxury spec sponsors finding capital in Paradise Valley and North Scottsdale today?

Yes. Capital depth in those enclaves is exceptional. Multiple private lenders compete for sponsor relationships. Custom spec at $3M–$15M+ regularly underwrites at 75–82% LTC for repeat builders. Pricing today: 10.5%–13% fixed, 24–30 month term, recourse with completion guaranty.

Are bank construction loans still being written in Maricopa County?

Less so than 2022. Most Arizona regional banks tightened materially in 2023 and have not fully returned. Private credit and family-office capital have filled the gap and now dominate spec home, luxury spec, and BTR financing in the metro. Pricing is competitive given lender depth.

Phoenix spec home construction financing

Phoenix, AZ · Up to 90% LTC

Spec Home Construction in Phoenix, AZ

Phoenix is one of the deepest spec home markets in the U.S. The West Valley (Buckeye, Goodyear, Surprise) anchors production volume; Scottsdale, Paradise Valley, and Arcadia anchor luxury spec; Queen Creek and San Tan Valley absorb significant East Valley overflow. The construction facilities we arrange fund up to 90% LTC for production spec and support luxury custom up to 85% LTC in established enclaves.

Phoenix Developer Market

Phoenix has been one of the top five U.S. metros for single-family permitting every year since 2020. The West Valley (Buckeye, Goodyear, Surprise) is now absorbing the majority of new production volume, with national homebuilders dominating land takedown and BTR sponsors competing aggressively for entitled lots.

Luxury spec in Paradise Valley, North Scottsdale, and Arcadia has remained durable through every interest-rate cycle since 2020. Capital depth in those submarkets is exceptional, with multiple private lenders competing for sponsor relationships.

Permit Trends

Maricopa County is permitting at near-record levels, with Buckeye alone projected to triple in population by 2040. Queen Creek and San Tan Valley continue to absorb the eastern overflow. BTR communities have been particularly aggressive in Maricopa, Casa Grande, and far-west Buckeye.

Capital Climate

Arizona regional banks pulled back hard in 2023; private credit and family-office capital filled the gap and remain dominant. Spec, BTR, multifamily, and land all have deep lender markets. Pricing for repeat sponsors is among the most competitive in the country.

Phoenix Submarkets We Place In

Scottsdale Chandler Gilbert Mesa Queen Creek Buckeye Surprise Goodyear Peoria Maricopa

Spec Home Construction Program Terms

Loan-to-Cost

Up to 90%

Loan-to-Value (ARV)

Up to 75%

Loan Size

$250K – $5M per home

Term

12 – 24 months, interest-only

Recourse

Recourse and non-recourse options

Draws

Inspection-based, typically 5–7 day funding

Full Spec Home Construction Program Details

Representative Phoenix Deal

Master spec facility

$22M commitment

Master facility for a Phoenix-area spec builder running 28 homes annually across Buckeye, Surprise, and Goodyear.

Frequently Asked Questions

Questions builders and developers ask about spec home construction loans in Phoenix.

Finished lots in Buckeye range $70K–$120K. Goodyear and Surprise sit at $90K–$160K. Queen Creek and San Tan Valley run $80K–$140K. North Scottsdale and Paradise Valley custom lots run $400K–$2M+. Maricopa and Casa Grande offer the most affordable basis at $50K–$90K.