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4 Strong Construction Loan Options in Rhode Island for Coastal and Inland Builds
Rhode Island is small, but construction projects here can still be complex, especially within reach of the coast, where state permits and flood elevations come into play. If you're building new or taking on a major renovation, four strong construction loan options are BankFive, Centreville Bank, Citizens, and Washington Trust. Each offers construction financing that converts to a permanent mortgage, with differences in project scope and footprint.
Disclosure: My Construction Path may be affiliated with, or receive compensation from, lenders featured in this article. Lenders are listed alphabetically, not ranked. Programs and availability change, so confirm details with each lender.
Our selection criteria
We kept a lender on this list only if its official website shows:
- Rhode Island lending for residential construction
- A single closing, or a stated construction-to-permanent option
- The kinds of projects it covers, from land purchases to additions and modular homes
- A local or regional footprint that includes Rhode Island
Every feature below is sourced from lender pages or reputable third-party coverage.
Comparison at a glance
| Lender | RI footprint | Construction-to-permanent | Project types | Land |
|---|---|---|---|---|
| BankFive | Serves Massachusetts and Rhode Island | Options available | New builds, additions, extensive renovations, garages and outbuildings | Can be used for land purchase |
| Centreville Bank | 20+ locations in RI and eastern Connecticut | Yes, one closing | New construction and renovation | For landowners building a home |
| Citizens | Construction-to-permanent program offered in RI | Yes | New build, renovation, teardown | Flexible lot options |
| Washington Trust | Headquartered in Westerly | Yes, one closing | Land plus build, rehabs, additions, modular | Buy land and build, or build on your land |
BankFive
Who it fits: Homeowners planning an addition, an outbuilding, or a ground-up build.
BankFive's construction loans are aimed at its Massachusetts and Rhode Island neighbors, and cover building from scratch, adding an addition, doing extensive renovations, or building a garage or other outbuilding.
Get connected with this lender
Notable features:
- Can be used for land purchase
- Covers permits and fees, excavation, building materials, labor, and inspections
- Construction-to-permanent options are available
Centreville Bank
Who it fits: Landowners building a home and buyers restoring an older house who want one closing.
Centreville Bank's construction and renovation mortgages include construction loans for landowners building a home and renovation loans for restoring an existing building. After construction is completed, the loan converts to permanent financing, and there's only one closing.
Get connected with this lender
Notable features:
- One program family for both new construction and renovation
- More than 20 locations across Rhode Island and eastern Connecticut
Citizens
Who it fits: Borrowers who want a large regional bank's combined construction and renovation program.
Citizens' Construction-to-Permanent Financing program combines your construction or renovation loan and permanent mortgage into a single closing, with flexible lot options. How interest is handled during the build varies by lender. Its mortgage disclosures list Rhode Island as a construction-to-permanent state.
Get connected with this lender
Notable features:
- Covers new construction, renovations, and teardowns
- Inspections before each construction draw
- Depending on the property's location, you may need to pay a flood insurance premium during construction
Citizens lists cooperatives and investment properties as ineligible.
Washington Trust
Who it fits: Borrowers building on the coast or inland who want one application, one approval, and one closing, including for modular homes.
Washington Trust, headquartered in Westerly, offers construction mortgages with one application, one approval, and one closing. Its construction loans cover primary or second homes and a wide range of project types.
Get connected with this lender
Notable features:
- Buy land and build, or build on land you already own
- Rehabs or additions to your current home
- Modular homes are eligible
- How interest is handled during the build varies by lender.
- A downloadable Construction Loan Financing Guide explains the process
Other Rhode Island lenders to consider
TD Bank offers a construction-to-permanent loan and lists a Rhode Island mortgage loan officer in Providence. Westerly Community Credit Union offers land and construction financing, with branches in Westerly, Richmond, Wakefield, and Coventry; ask whether its loan converts with one closing.
Get connected with TD BankGet connected with Westerly Community Credit Union
How to choose a Rhode Island construction lender
- Check coastal permitting early. Work in the state's coastal zone is permitted by the Rhode Island Coastal Resources Management Council. Ask your builder whether your lot needs CRMC review, and how that affects your closing timeline.
- Look up flood exposure. Use FEMA's Flood Map Service Center and ask each lender when flood coverage is required during construction.
- Match the lender to the project. BankFive lists outbuildings and additions, Washington Trust lists modular homes, and Centreville combines construction and renovation.
- Second homes count. If you're building a summer place, Washington Trust lists second homes as eligible. Confirm with others.
- Plan for size and the finish line. Read our guide to jumbo construction loans if your coastal build is above conforming limits, and ask what's needed to convert to a permanent mortgage after the build.
Frequently asked questions
Which lenders offer construction-to-permanent loans in Rhode Island?
BankFive, Centreville Bank, Citizens, and Washington Trust all describe construction loans that convert to permanent financing, and TD Bank also lists a Rhode Island loan officer.
Can I finance a modular home in Rhode Island?
Yes. Washington Trust lists modular homes as eligible for its construction loans.
Can I build a second home or summer house?
Washington Trust's construction loans are available for primary or second homes. Ask other lenders about second-home eligibility.
Can I renovate an older home with a construction loan?
Yes. Centreville offers renovation loans for restoring existing buildings, Washington Trust covers rehabs and additions, and BankFive covers extensive renovations.
Do coastal projects need extra approvals?
Often. The Coastal Resources Management Council permits work within Rhode Island's coastal zone, so coastal lots may need CRMC review before construction.
Find your Rhode Island construction lender
The right fit depends on your town, your project, and how close you are to the water. Get connected with a construction lender at My Construction Path to compare construction loan options for your land, budget, and timeline, and see which builder-friendly lenders serve your area.
My Construction Path may be affiliated with lenders featured in this article. Lender programs, eligibility, and service areas change often and vary by location. This article is for general education and is not a commitment to lend. All loans are subject to credit and property approval by the lender.