buying a lot to build on 5 years from now. need advice on how to finance the land
hello, we are currently looking at a property we love that fits our needs for our future "forever" home. we are looking to get a land loan until we are ready for construction. figuring 3-5 years. has anyone done this that can provide some advice? thanks in advance!
I can't say I know much about land financing but if I was in your situation I would get in contact with some local or even national mortgage brokers. Explain your situation and ask if they have any loan programs that would fit your needs. Some lenders have some really creative programs
Typically the terms on these loans are 3-5 years and require at least 50% down
#3 BRRRR - Buy, Rehab, Rent, Refinance, Repeat Contributor
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#3 BRRRR - Buy, Rehab, Rent, Refinance, Repeat Contributor
- Investor
- Austin, TX
Wait five years to buy it. Your holding costs are going to kill your numbers.
Quote from @Eliott Elias:
Wait five years to buy it. Your holding costs are going to kill your numbers.
100% agree. 5 years is a long time. a lot can change. Do something else/invest the money instead. Then you will be in a better position financially than having a property that was a drain.
I just got a land loan that required 25% down for a 5 year arm.
We plan to build in 1-2 years but this first year is going to be planning, permitting, excavation and septic. It takes 6-8 months just to get a building permit.
How do you plan to build? Owner builder, pay a home builder? And how do you plan to pay for the build, cash flow it or construction loan?
Quote from @Andrew Sundseth:
I just got a land loan that required 25% down for a 5 year arm.
We plan to build in 1-2 years but this first year is going to be planning, permitting, excavation and septic. It takes 6-8 months just to get a building permit.
How do you plan to build? Owner builder, pay a home builder? And how do you plan to pay for the build, cash flow it or construction loan?
do mind sharing who you used to get this land loan? also how as this been going i see you posted this a year ago.