A Single Close Construction loan is another name for a One-Time Close Construction loan. These loans combine the standard short-term Construction loan with a long-term home loan. Typically, when a borrower wants to build a house from scratch, they would have to take out a Construction loan to finance the costs of the build itself, then a second mortgage to finance the home once its built.
A Single Close Construction loan combines these two programs into one, which streamlines the application and approval process, since it is one loan instead of two, and allows borrowers to only pay one set of closing costs.