Land loans (i.e. loans for acreage)

[NuclearNed]

I have the rare opportunity to expand my kingdom - some wooded land adjacent to my property has gone up for sale.

Has anyone here bought land that didn't include a dwelling before? What can I expect in a loan (i.e. # of years, APR, etc.)?

 

[lokiju]

No help for you but my goal is to one day own a place where I own as many acres as I can get my hands on in all directions of my home.

 

[vi edit]

Last October I got 1.5 acres of "improved" ground through a conventional 7 year loan at 6.99% from my local Credit Union.

By improved I mean this was in a developed subdivsion complete with utilities run to the property and more or less ready to put a house on.

You may run into tougher terms if it's a completely raw property.

 

[Ruptga]

No idea, but what would you use this land for? I mean are you going to make money off of it somehow, use it for hunting, or what?

 

[NuclearNed]

Originally posted by: lokiju
No help for you but my goal is to one day own a place where I own as many acres as I can get my hands on in all directions of my home.

Ah, we share the same philosophy of land.

 

[PepePeru]

Originally posted by: ADDAvenger
No idea, but what would you use this land for? I mean are you going to make money off of it somehow, use it for hunting, or what?

land is usually a great investment.

 

[NuclearNed]

Originally posted by: ADDAvenger
No idea, but what would you use this land for? I mean are you going to make money off of it somehow, use it for hunting, or what?

I don't have any real plans for it, but it would be a buffer to help maintain the privacy of my main property.

 

[NuclearNed]

Originally posted by: vi edit
Last October I got 1.5 acres of "improved" ground through a conventional 7 year loan at 6.99% from my local Credit Union.

By improved I mean this was in a developed subdivsion complete with utilities run to the property and more or less ready to put a house on.

You may run into tougher terms if it's a completely raw property.

This property is completely undeveloped and wooded, so it is completely raw.

7 years is a conventional land loan? I'm assuming the interest rates are probably lower than 6.99 at this time, right?

 

[bsobel]

Originally posted by: NuclearNed
I have the rare opportunity to expand my kingdom - some wooded land adjacent to my property has gone up for sale.

Has anyone here bought land that didn't include a dwelling before? What can I expect in a loan (i.e. # of years, APR, etc.)?

Expect higher downs (20-50% are common in dirt loans) and higher rates. Other than that, the terms and length of loan (etc) are similar to traditional mortgages. Another option might be to refi your home and use the funds (if there are enough) to purchase the land.

 

[NuclearNed]

Originally posted by: bsobel

Originally posted by: NuclearNed
I have the rare opportunity to expand my kingdom - some wooded land adjacent to my property has gone up for sale.

Has anyone here bought land that didn't include a dwelling before? What can I expect in a loan (i.e. # of years, APR, etc.)?

Expect higher downs (20-50% are common in dirt loans) and higher rates. Other than that, the terms and length of loan (etc) are similar to traditional mortgages. Another option might be to refi your home and use the funds (if there are enough) to purchase the land.

I just refinanced my home around the first of the year, so that probably isn't an option. So you're saying that the length of a loan can be like 10, 20, or 30 years? If so, that might really open up some opportunity for me. There are 12.8 acres total, but I was hoping to get only 2-3 of them. If I could get a 20 year loan, I might be able to swing all 12.8.

 

[vi edit]

Originally posted by: bsobel

Originally posted by: NuclearNed
I have the rare opportunity to expand my kingdom - some wooded land adjacent to my property has gone up for sale.

Has anyone here bought land that didn't include a dwelling before? What can I expect in a loan (i.e. # of years, APR, etc.)?

Expect higher downs (20-50% are common in dirt loans) and higher rates. Other than that, the terms and length of loan (etc) are similar to traditional mortgages. Another option might be to refi your home and use the funds (if there are enough) to purchase the land.

Yeh, I forgot to add that we needed 20% down too.

 

[bsobel]

Originally posted by: NuclearNed

Originally posted by: bsobel

Originally posted by: NuclearNed
I have the rare opportunity to expand my kingdom - some wooded land adjacent to my property has gone up for sale.

Has anyone here bought land that didn't include a dwelling before? What can I expect in a loan (i.e. # of years, APR, etc.)?

Expect higher downs (20-50% are common in dirt loans) and higher rates. Other than that, the terms and length of loan (etc) are similar to traditional mortgages. Another option might be to refi your home and use the funds (if there are enough) to purchase the land.

I just refinanced my home around the first of the year, so that probably isn't an option. So you're saying that the length of a loan can be like 10, 20, or 30 years? If so, that might really open up some opportunity for me. There are 12.8 acres total, but I was hoping to get only 2-3 of them. If I could get a 20 year loan, I might be able to swing all 12.8.

Longer loans are definately available, ask your relator who's good in your area for dirt/lot loans, they usually know who has the best programs at the time.

 

[Modelworks]

Be very skeptical if it is cheap and looks like someone has been digging there.

 

[Ruptga]

Do you really want to pay this off over 20 years just to have a really nice buffer for your main property? Think of all the hookers and blow you could buy with that.

 

[NuclearNed]

Originally posted by: ADDAvenger
Do you really want to pay this off over 20 years just to have a really nice buffer for your main property? Think of all the hookers and blow you could buy with that.

You're not thinking about the big picture. With 12.8 acres, plus the 5 I already own, I can start my own nudist colony with a membership screening committee that is very personally supervised.

 

[ViviTheMage]

Originally posted by: NuclearNed

Originally posted by: ADDAvenger
Do you really want to pay this off over 20 years just to have a really nice buffer for your main property? Think of all the hookers and blow you could buy with that.

You're not thinking about the big picture. With 12.8 acres, plus the 5 I already own, I can start my own nudist colony with a membership screening committee that is very personally supervised.

Mrs. Nuclearned may not be so happy.

 

[mugs]

Originally posted by: NuclearNed

Originally posted by: ADDAvenger
Do you really want to pay this off over 20 years just to have a really nice buffer for your main property? Think of all the hookers and blow you could buy with that.

You're not thinking about the big picture. With 12.8 acres, plus the 5 I already own, I can start my own nudist colony with a membership screening committee that is very personally supervised.

I thought you bought a model home in a development? 😕 Did they just stop building the development?

 

[iamwiz82]

Originally posted by: ViviTheMage

Originally posted by: NuclearNed

Originally posted by: ADDAvenger
Do you really want to pay this off over 20 years just to have a really nice buffer for your main property? Think of all the hookers and blow you could buy with that.

You're not thinking about the big picture. With 12.8 acres, plus the 5 I already own, I can start my own nudist colony with a membership screening committee that is very personally supervised.

Mrs. Nuclearned may not be so happy.

Perhaps he is screening for her benefit?

 

[ViviTheMage]

o lala

 

[NuclearNed]

Originally posted by: mugs

Originally posted by: NuclearNed

Originally posted by: ADDAvenger
Do you really want to pay this off over 20 years just to have a really nice buffer for your main property? Think of all the hookers and blow you could buy with that.

You're not thinking about the big picture. With 12.8 acres, plus the 5 I already own, I can start my own nudist colony with a membership screening committee that is very personally supervised.

I thought you bought a model home in a development? 😕 Did they just stop building the development?

Not me - you must be thinking of someone else.

 

[sjwaste]

I thin

Originally posted by: mugs

Originally posted by: NuclearNed

Originally posted by: ADDAvenger
Do you really want to pay this off over 20 years just to have a really nice buffer for your main property? Think of all the hookers and blow you could buy with that.

You're not thinking about the big picture. With 12.8 acres, plus the 5 I already own, I can start my own nudist colony with a membership screening committee that is very personally supervised.

I thought you bought a model home in a development? 😕 Did they just stop building the development?

I think you might be confused with Sudden Valley.

 

[FP]

Originally posted by: Modelworks
Be very skeptical if it is cheap and looks like someone has been digging there.

More info? Why would digging be an issue? Dead bodies?

 

[waffleironhead]

I purchased my 20 acres on a land loan. I purchased it within a "recreation and hunting" loan. I was required to come up with 20% down. It was actually much simpler than a traditional mortgage. The land I bought had a well and existing structures, but the fact that the house had no indoor plumbing denied a traditional mortgage so it was my only option.

The bank may offer a 1 year construction loan, or you may be able to pull equity out of your home and do a second mortgage, depending on which gives you the better rate.

 

[mugs]

Originally posted by: NuclearNed

Originally posted by: mugs

Originally posted by: NuclearNed

Originally posted by: ADDAvenger
Do you really want to pay this off over 20 years just to have a really nice buffer for your main property? Think of all the hookers and blow you could buy with that.

You're not thinking about the big picture. With 12.8 acres, plus the 5 I already own, I can start my own nudist colony with a membership screening committee that is very personally supervised.

I thought you bought a model home in a development? 😕 Did they just stop building the development?

Not me - you must be thinking of someone else.

Oh yeah, I'm thinking of StarsFan4Life

Everyone's buying houses these days.

 

[alkemyst]

damn never really heard dirt loans this much since this thread. TGFG...thank god for google I guess.

Just call you local and national lenders and ask.

They'd be happy to run your credit for free and tell you what it will cost in terms and conditions.

As you approach the high end, it's really just the land that is valuable. Once you are past that approach assume covering all the property in gold worth more if your neighborhood can handle it.