Yes, you can have an attorney do that after the closing. Whether you are closing in 2012 or 2013, make sure that you deduct the RD fee, if you can. It is completely deductible in the purchases year. It is a big deduction, but won't do you much good unless you have can itemize since you are married that will be a big threshold to get over. If you close after the first of the year, you will not only have the funding fee to deduct but also 11 or 12 months of interest payments much better for you.... more
All great answers below. Another option that I thought of could be to look for current plots of land in the area that may be able to be subdivided. Look up the owners in the public records and attempt to contact them to see if they might be interested in selling some of their land. The success rate will probably be low, but it is worth a try. Also, you could look at expired listings.
I checked for you and there are three land listings in Hampton Falls right now. I'm not sure if you have already looked at these or not. Here is the info (sorry about the formatting).
MLS Address Town State MLS List Date List $ Acres Zoning LO LA Photo Indicator DOM
AC 4002840 L 2 Hardy Lane Hampton Falls NH 06/02/2010 $159,900 4.27 res/agr 2082 12853 1 228
AC 4002845 L 5 Hardy Lane Hampton Falls NH 06/02/2010 $159,900 2.02 res/agr 2082 12853 1 228
AC 2761911 L Lot 6 Kensington Road Hampton Falls NH 02/13/2009 $160,000 2.01 Res/Agr 2519 20680 3 702... more
Nick you certainly could accept there is nothing protecting you from a variety of potential problems. the first is if you did find a seller who would do thiis, you would have to pay to bring them current which could be expensive. Then if you are paying them, how do you know if they are using your money to pay the mortgage? if you pay the bank directly, you have no control over onwership, that owner can sell to soemone else, they could call teh bank and turn the house over to them of take out anothe rloan of the property. the key is you have nothing to secure yourself to that house, no way to guarantee you will be able to get the house deeded into your name. If you could find an assumable mortgage where you take over the mortgage, at leats it is deeded to you and you have all the protections. With just making payments, you have no guarantees...... more