We start the process with a standard mortgage application and review of your credit report. To qualify for a lot loan, your lender will need to know how much you can provide as a down payment – your annual earnings, the total cost of the loan, its duration, and your financial history. This includes, but not limited to, at least 2 years of tax returns, recent paystubs and bank statements.   For a construction loan, you will need to provide a detailed build schedule, plans and budget, along with personal financials. Your builder must also be approved under the loan conditions and will be asked to prove creditworthiness and a history of completed projects.    Be prepared for a construction loan approval to take longer than a traditional mortgage as it is a more complex loan. In a preconstruction appraisal, there must be evidence of the value in the finished product.