Mortgage Rates are Down!
Land or Lot Loan
A Land Loan or Lot Loan provides financing for purchasing undeveloped property, whether for future home construction, investment, or development. These loans are ideal for buyers who want to secure land now and build later, offering flexible terms based on the property’s location and intended use. Since land loans don’t include a structure, lenders may require a larger down payment and detailed plans for future development. If you’re looking to buy land before building a home, exploring land and lot loan options can help you take the first step toward your property goals.
A Reliable Home Loan You Can Trust.
Flexibility for Development
Purchase land for building a custom home, business, or investment property.
Diverse Property Types
Finance raw land, improved lots, or parcels with zoning for specific uses.
Loan Customization
Options available for short-term or long-term financing based on your goals.
Stepping Stone to Construction
Acts as a foundation for future building projects, with potential to combine with construction financing.
Loan Guidelines
If your details are near these guidelines, we encourage you to apply or reach out. Even if you don’t qualify for a 30-year fixed-rate mortgage, we may have other options available.
The Home
Purchase a new home or refinance your current mortgage.
Credit Profile
A credit score above 620 is typically required.
Debt-to-Income
Your debt-to-income ratio (DTI) should be under 50%.
Closing Costs
Along with your down payment, you’ll need sufficient funds to cover closing costs.
Explore Your Potential
Our calculators help you understand and visualize your options
Mortgage Calculator
Planning to buy a home? Calculate your estimated monthly payments, including taxes and insurance.
Refinance Calculator
Considering refinancing your mortgage? Find out how much you could save.
Frequently Asked Questions
Have questions? We’ve got answers! Explore our FAQ section to find helpful information about loans, refinancing, and more. If you don’t see what you’re looking for, feel free to contact us—we’re here to help!
Who are Land or Lot Loans best for?
Land or Lot Loans are ideal for individuals or developers who want to purchase raw land or a developed lot for building a future home, investment property, or other projects.
How do Land or Lot Loans work?
Land or Lot Loans provide financing to purchase undeveloped or partially developed property. These loans typically require a higher down payment and stricter qualification criteria compared to traditional home loans. Borrowers may need to present a clear plan for development or improvement of the property.
What are the pros and cons of a Land or Lot Loan?
Pros:
- Enables the purchase of land for custom development.
- Financing available for various types of lots, including raw, developed, or zoned for specific use.
- Can serve as an investment or future home site.
Cons:
- Higher interest rates and down payments.
- May require a development timeline or project plan.
- Fewer lenders specialize in these loans compared to traditional mortgages.
Can I use a Land or Lot Loan to build immediately?
Yes, but many borrowers pair a Land or Lot Loan with a construction loan to cover building costs. Some lenders also offer a combined loan for land purchase and construction.