“Owners of raw land are much more likely to stop making payments and walk away from the property in the event of a financial event in their lives,” says Casey Fleming, a mortgage adviser with C2 Financial Corporation.“And land is much harder to sell. Interest rates and additional borrower commitments and underwriting. To see shorter-term loans, higher down payments (around 30 percent), higher Unfavorable terms, but sometimes it is necessary to go this route. To pay cash since obtaining this kind of loan can be difficult and have Land you want to buy and know that it will be several years before you startīuilding, a lot or land loan is the best option. Outline what you’ll need to get preapproval for the kind of loan you want. You figure out which one is best for your circumstances.
In this article, we look at the types of loans available and help
Oh-so-confusing, especially when you are looking to buy a lot and build aĬustom home.
Photo Credit: Alexander Mils from Unsplash
