Can I use land as collateral for a loan?

As the property is free and clear, you'll be able to get a mortgage on it. However, you should have a good credit score and income in order to get a mortgage. You should have a credit score of 700-720 to get a loan. Also, you should be able to show 2 years of employment history in order to get a mortgage.

I have 46 acres just outside of Dallas. I owe just over $12000 on the land and it is worth at or around $700,000. I am only looking to borrow $250,000. Is it possible and whom do I turn to?

[Email address deleted as per forum rules. Thanks.]

Hi Fred,

As you have lots of equity in the property, you will be able to get a mortgage on that land provided you meet all the required criteria of the lender. You should contact the local lenders and apply for a loan.

Thanks

what is the difference between a mortgage bank & regular bank? Also, what is hard money loan & who handles them?

Hi merle!

Welcome to forums!

A mortgage bank may offer you only a mortgage loan but regular banks will not only give you a mortgage loan but will offer other services as well. Hard money loans are asset based mortgage financing wherein the interest rates are quite higher than the normal loans. Hard money loans are made by private investors mostly in their local areas.

Feel free to ask if you've further queries.

Sussane

Hi/I live in new york city/I own land in St. Lucia with a deed and want to know if I can get a loan in new york city using me carribbean land as collatoral/Mr. Dalkeith Devaux

Hi dalkeith,

If you have a property in US, then you can use it as a collateral and get a mortgage here. I don't think lenders here will be ready to offer you a mortgage on a property which is located in the Caribbean.

Need a collatoral loan on land can i get a phone number to an institution who does this.

Welcome benito linares,

You should contact the local land loan lenders and apply for a loan. As far as I know, all the major financial institutions will provide you with land loans. This community has a large number of lenders. You can seek a no obligation free mortgage quote from them and check out whether or not you can get a loan.

Hi I am in desperate need for a house for my family and I have 2 ac. in texas that I can use as collateral but I need to know if it is possible with poor credit and not a long job reference. Would it even be possible to purchase a mobile home? Or would I need to get my credit fixed first??

Hi raosagie!

Welcome to forums!

You won't be able to qualify for any kind of loan if you don't have a good income and an employment history of 2 years. Also, you will have to take steps to improve your credit score. You can check out the given page for the same: http://www.mortgagefit.com/credit-rating/credit-repair.html .

Feel free to ask if you've further queries.

Sussane

My father wants to give/sell a 5 to 10 acre plot of land so I can build house close to he and my mother's house. Can I use the land as collateral/down payment for building loan ? Do I have to have owned it for a certain period of time ? Does the price that he sells it to me(it will be very low) factor in ? Thanks

Hi Ely!

Welcome to forums!

Once you become the owner of the land, you will be able to use it as a collateral in order to get a construction loan.

Feel free to ask if you've further queries.

Sussane

Thanks for your answer. I am glad your forum is here.

You're welcome, Ely K!! :)