Church Loans from Extension Funds

Building, buying, or renovating is a big step for a congregation. A church extension fund is one kind of lender that works with churches every day. This guide explains how the process usually goes and how to prepare.
Directory information only. This is not an offer, advice, or an endorsement. Details come from each fund's own pages and may be out of date. Investments are generally not FDIC or NCUA insured, and offerings vary by state. Read the fund's current offering circular before you invest or apply. How this directory works

Why churches look at extension funds

Church extension funds understand congregational finances. They look at giving trends and ministry plans, and many offer loan terms designed for churches. Offerings vary by fund, so compare more than one lender, including banks and credit unions. This directory is not a lender and does not make loans.

Who they lend to

Many funds lend to congregations in their own denomination. Some extend to partner denominations or independent churches. Lending is typically limited to the states in which the fund operates.

How the process usually goes

  1. Check eligibility. Confirm the fund lends to your denomination, in your state, and for your project type.
  2. Start a conversation. An early call with the fund saves time and helps you learn its process.
  3. Prepare documents. Lenders usually ask for an application, several years of financial statements, giving and attendance history, a budget, project plans, and governance documents such as bylaws and board approvals.
  4. Underwriting. The fund reviews giving trends, existing debt, reserves, and the scope of the project.
  5. Collateral and appraisal. Loans are commonly secured by a mortgage on the property, with an appraisal, title work, and insurance requirements.
  6. Approval and closing. After committee or board approval, you sign loan documents and the fund disburses money, often in stages for construction.
  7. Repayment. Terms and prepayment rules vary. Ask for them in writing.

Requirements differ by fund. This list reflects what lenders commonly ask for, not any one fund's rules.

Before you apply

  • Define the project and get a realistic cost estimate.
  • Gather three years of financial statements and recent giving and attendance data.
  • Have a current budget and a list of existing debts.
  • Confirm the board or congregational authority to borrow that your bylaws require.
  • Decide how much you can responsibly repay each month, even if giving dips.

Questions to ask a fund

  1. Do you lend to our denomination and in our state?
  2. What loan sizes and project types do you finance?
  3. What is your typical timeline from application to closing?
  4. Do you offer construction, refinance, and bridge loans?
  5. What fees will we pay at application and at closing?

How to compare offers

Compare rate type (fixed or variable), term and amortization, fees, prepayment rules, collateral, the equity expected, and how construction draws are handled. Ask each lender for a written term sheet. A fund's own requirements govern, and you may want to consult an attorney or financial adviser before signing loan documents.

Check your readiness

Try the loan readiness self-check. It takes a few minutes, collects no personal details, and turns your answers into a score and a 90 day plan. It is informational only and not a credit decision.

Planning tools

CEF Core also publishes calculators for congregations, such as the loan affordability calculator and the DSCR calculator. They are separate from the fund listings and do not use fund data.

Browse all funds or browse by denomination.

Important information

CEF Core publishes this directory for information only. It is not an offer to sell, or a solicitation of an offer to buy, any security, and it is not investment, legal, tax, or lending advice. We are not an offeror of securities, a broker-dealer, or an investment adviser. Details come from each fund's own public pages. We have not independently verified them, and they may be incomplete or out of date. A listing is not an endorsement, rating, or recommendation, and listings appear in alphabetical order. Church extension fund notes are generally not FDIC or NCUA insured, and offerings may be available only in certain states and to certain investors. Confirm all details with the fund and read its current offering circular before you invest or apply.

Directory information only; not an offer or advice.

CEF Core sells software to church extension funds. Our relationship with a fund does not affect whether or where it appears in this directory, and listings are alphabetical.