Construction Loan Interest Rates 2025. If the rate of inflation slows to the fed’s target of 2%, some experts expect mortgage rates to fall to around 5% to 6% by the end of 2024, and potentially 4.5% by the end of 2025. But in general, construction loan rates are typically around 1 percent.

Here are nerdwallet’s top choices for construction loan lenders. Construction forecast for 2025 optimistic.