Another variety of loans Redwood offers is Construction Loans. These programs encompass any value added loan where the funds are used to finance construction of some kind. It is important to note however, in the United States Financial Services industry a Construction Loan is a more specific type of loan. Here it is designed for construction and contains such features as interest reserves where repayment ability may be based on a facet that can only occur when the project is built. Therefore, the defining features of these loans are special and include monitoring and guidelines that exceed normal loan guidelines in order to ensure completion of the project so that repayment of the construction loan may commence.