I am intrested in purchasing a resedential lot with the intent to build later, what is my best option for a loan?

Asked by MIchael Martinez, San Antonio, TX Thu Feb 14, 2013

This question was asked from this property: http://www.trulia.com/property/3098143043-1298-Cinnamon-Ln-S…

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Bruce Lynn, Agent, Coppell, TX
Thu Feb 14, 2013
I'd be surprised by the 15% down...normally it is more like 50% down.

Local banks, local credit unions will be your best bet for land loans, unless you are a veteran.
0 votes
Jason Campbe…, Agent, San Antonio, TX
Thu Feb 14, 2013
Steve Johnson below hit the nail right on the head. Let me just confirm his answer for you and second it.

Randolph Brooks Federal Credit Union has the best Land only Loan I've seen yet. Best rates, and lowest fees.

Go Here: https://www.rbfcu.org/NB/html/RealEstate/Land.htm

Jason C Campbell
Platinum Top 50 Finalist
Option One Real Estate
0 votes
Steve Johnson, Agent, Spring Branch, TX
Thu Feb 14, 2013
I would check with Randolph Federal Credit Union. They do lot loans. Usually on average about 15% down and typically at a higher interest rate than a home purchase. If you are going to use a Builder that does (BOL) build on your lot, they may be able to buy th e lot and construct a home for you at the same time, you will only have a one time close that could save you money there. Being that the lot is not in a subdivision, you need to verify the utilities ie: water, electric and sewer or septic. All of tthose things can impact the cost of building a home. You should also check to see if there are any deed restriction ie: no mobile homes, livestock and anything else that may not be allowed. Take care and happy hunting!

Thank You,
Steve Johnson
Relocation Specialist
Fine Homes International
Prudential Don Johnson
18534 Fourty-Six Parkway Suite 1C
Spring Branch, TX 78070
Cell: (210) 325-1833
Bus: (830) 438-5540
Fax: (830) 438-6730

Texas Law requires all real estate licensees to give the following information about brokerage services:

0 votes
Tabitha King, Agent, San Antonio, TX
Thu Feb 14, 2013
Hi Michael,

Give Vino a call about mortgage options and then let me know if I can help find you a lot to build on.

Have a good one,

Call, email or text me anytime
0 votes
Vino Alonzo, , San Antonio, TX
Thu Feb 14, 2013
Hi Michael,

Your best bet is to speak to a lender. We have to determine if you intend to use your lot as down payment or if you plan to pay a cash down payment. We also have to determine how you plan to fund the project. There is more than one way to accomplish this. Having all of your options now wll allow you to make an informed decision on how to proceed when the time is right. Please call me so we can set up an appointment in my office to discuss.

Vino Alonzo, Loan Officer
NMLS# 184279
Castle & Cooke Mortgage
0 votes
Vincent Arna…, Agent, San Antonio, TX
Thu Feb 14, 2013
That is a great question. Lenders offer different types of loan products. And lot loans is just one product they offer.

A land loan can be short or long term with rate and term dependent on the intended purpose for the land.

The best advice I could offer would be to contact one if the many lenders out there and look for the terms that work best for you.
In the past I have had client use Michael Kidd with Frontier Lending. You can reach him at 210-530-1247 or at 210-789-5433.
Vince Arnall
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