financing lot purchase

Jan 12, 2012, 08:36 PM

I am looking for suggestions on lenders for purchasing land. I live in Calif. but want to purchase a lot in AZ to build a house a couple of years down the road. The lot is fully developed, ready to build. Credit unions seem like the best bet, but they seem to all be local. Being out of state that does not seem like it would work. I would like to find someone who would finance 60% to 70% of LTV since this is a short sale for a fraction of the appraised value. Any suggestions would be appreciated.

Jan 12, 2012, 10:01 PM

Jaybee

I would not discount the credit unions so fast. You may want to join one in AZ and go for a local to the land CU. If you really are purchasing for below a realistic value for the land and if you have good credit, I bet it would work.

Jan 12, 2012, 10:12 PM

mosternaz

AZ lenders are still skiddish after the crash. I doubt a credit union will finance a lot. I would check with Chase or Wells Fargo. With enough down and a strong appraisal, it may work.

Jan 12, 2012, 10:28 PM

kmcginn

That is the approach I was hoping to take but all of the credit unions I have found in AZ require a AZ drivers license to join. I have queried a couple to see if they have an affiliation with a credit union in Calif. to allow me to make use of there loan programs by means of the affiliation. I have no feed back yet from those queries so I am trying to figure out what other alternatives i have to purchase the lot.

Jan 15, 2012, 06:41 PM

mosternaz

Have you actually called a credit union to see if they finance lots only? I would be very surprised if they do. Especially in AZ

Jan 15, 2012, 07:56 PM

Jaybee

Different circumstances but when I purchased the lot that now contains my house I financed it through my credit union. The only thing they wouldn't do is carry the construction loan paper so I went elsewhere for construction money and then rolled it back into a mortgage from the CU.

Jan 16, 2012, 12:53 PM

kmcginn

Fortunately I found that there is a credit union I can join that is offering land financing at 70% of LTV. If this works out I should be in good shape. I appreciate all of the advice.

Oct 12, 2012, 02:20 AM

carvenedrick

I had gone through the post, What are the rules of credit union and present interest rates ? Could you please produce some more attachments about the topic for view detail information.

financing land
land financing

May 03, 2013, 03:12 AM

Emanuel Paul

There are local credit union and mortgage loans that can finance your needs, however they are mostly looking for good and outstanding credits of every clients. If you have saving, why not build prefab house instead, they are cheap, they are made from hard and reinforce fiberglass materials with one coat stucco finish, or you can also get real wood but it will cost you more for that.

May 03, 2013, 08:27 AM

Jaybee

This one gets the award for the most obscure spam tie-in yet.

Makes me want to run right down to my local credit union so I can order a pre-fab stucco house.

May 03, 2013, 09:23 AM

Sparky617

I would not recommend buying land that you don't intend to build on more than 6 months out. People's plans change and raw land is very difficult to sell should your plans change.

When you get closer to building you could tap a home equity loan to purchase the land. Then when you build, sell and move your lot loan would be paid off with proceeds from your home sale.

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May 03, 2013, 11:11 AM

GardenSprite

[QUOTE]Originally posted by Jaybee:
This one gets the award for the most obscure spam tie-in yet.

QUOTE]

Not to mention that Emmanual Paul doesn't even understand the current financial market. Maybe he was too busy spamming during the recession to notice that there was one.

May 03, 2013, 01:56 PM

Frodo

quote:
Originally posted by Frodo:
quote:
Originally posted by GardenSprite:
[QUOTE]Originally posted by Jaybee:
This one gets the award for the most obscure spam tie-in yet.

QUOTE]

what a ma-roon!!!!