Posted on: 25th Jul, 2006 08:01 pm
Hello.
I am looking for information on what the best type of loan is for my situation. Questions are below and we are in a huge hurry because my O-2 military husband was transferred unexpectedly to Virginia. My son is autistic and we are looking to stabilize in an area for him - both for the settling in and school connection. We are having trouble finding something affordable in a safe, quiet area for my son(he has sensory issues and bolts so need quiet road) in the family town we want to be in. For just over a year due to health issues, we had double mortgages that severely damaged our credit. He is military though and we can manage cash down(one house sold) or else we can pay his cards off with the cash we have. We are not sure which would be the best option. We need to know how quickly a land loan can close and what options there are.
We are planning on placing an RV on the lot(but we do need cash to upgrade lot and for septic/electric/water) and building a three car garage with apartment above it that has the ability to connect to a main house someday. The lot price should be about 200K. If we were to try to build the garage immediately it would probably cost close to 100K.
Can land improvements be put in to the land loan?
What type of land to construction loans exist?
What VA loans for O-2 military exist?
What companies are best for the best loan options?
Could a loan for an RV be put in with the land loan?
How fast can we get a loan to close? (By the end of August)
The property would be in Southern Virginia so the bank must service there
Thank you so much for you help.
Heather
I am looking for information on what the best type of loan is for my situation. Questions are below and we are in a huge hurry because my O-2 military husband was transferred unexpectedly to Virginia. My son is autistic and we are looking to stabilize in an area for him - both for the settling in and school connection. We are having trouble finding something affordable in a safe, quiet area for my son(he has sensory issues and bolts so need quiet road) in the family town we want to be in. For just over a year due to health issues, we had double mortgages that severely damaged our credit. He is military though and we can manage cash down(one house sold) or else we can pay his cards off with the cash we have. We are not sure which would be the best option. We need to know how quickly a land loan can close and what options there are.
We are planning on placing an RV on the lot(but we do need cash to upgrade lot and for septic/electric/water) and building a three car garage with apartment above it that has the ability to connect to a main house someday. The lot price should be about 200K. If we were to try to build the garage immediately it would probably cost close to 100K.
Can land improvements be put in to the land loan?
What type of land to construction loans exist?
What VA loans for O-2 military exist?
What companies are best for the best loan options?
Could a loan for an RV be put in with the land loan?
How fast can we get a loan to close? (By the end of August)
The property would be in Southern Virginia so the bank must service there
Thank you so much for you help.
Heather
Hi,
What options there are for land loan
Land loans have 10 to 15 year maturities just like home equity loans. The interest will generate a tax deduction on your income taxes. There are lenders offering various types of lands loans like that of bare or lot loans and prime jumbo residential construction loans.
The jumbo residential loan is a one time close construction to permanent loan rolled into a single program. The start to finish term for the construction portion of the loan is a year or so. There are also subprime residential construction loans available to those having low credit scores.
Thanks,
Sara.
What options there are for land loan
Land loans have 10 to 15 year maturities just like home equity loans. The interest will generate a tax deduction on your income taxes. There are lenders offering various types of lands loans like that of bare or lot loans and prime jumbo residential construction loans.
The jumbo residential loan is a one time close construction to permanent loan rolled into a single program. The start to finish term for the construction portion of the loan is a year or so. There are also subprime residential construction loans available to those having low credit scores.
Thanks,
Sara.
Hi,
How quickly a land loan can close
There are various other loan products which vary from one lender to another. So you need to shop for the type of loan that will suit you the best. Regarding the closing, how quickly you close on the loan will depend on the lender you have selected and how fast he can prepare the loan documents to get them signed by you.
Normally it takes around 1 to 6 weeks for the lender to evaluate your land loan application. The closing date is decided after co-coordinating with all the parties involved in the transaction – the real estate professionals, seller, land loan company, closing agent, and you.
Thanks,
Sara.
How quickly a land loan can close
There are various other loan products which vary from one lender to another. So you need to shop for the type of loan that will suit you the best. Regarding the closing, how quickly you close on the loan will depend on the lender you have selected and how fast he can prepare the loan documents to get them signed by you.
Normally it takes around 1 to 6 weeks for the lender to evaluate your land loan application. The closing date is decided after co-coordinating with all the parties involved in the transaction – the real estate professionals, seller, land loan company, closing agent, and you.
Thanks,
Sara.
Hi,
"Can land improvements be put in to the land loan?
"
Land improvement can be included in the loan loan but this often depends on the lender financing the loan.
Thanks,
Jerry.
"Can land improvements be put in to the land loan?
"
Land improvement can be included in the loan loan but this often depends on the lender financing the loan.
Thanks,
Jerry.
Hi,
"What type of land to construction loans exist? "
Construction loans may or may not include the cost of the land you are buying. These loans require interest-only payments during the period of construction and become due after it is completed.
Construction loans are not long term loans but they are converted into long term permanent home loans. Usually these are variable rate loans offered at the Prime Rate or other short-term interest rates. In most cases, a line of credit is set up so that you can withdraw cash as and when required.
Regards,
Jessica.
"What type of land to construction loans exist? "
Construction loans may or may not include the cost of the land you are buying. These loans require interest-only payments during the period of construction and become due after it is completed.
Construction loans are not long term loans but they are converted into long term permanent home loans. Usually these are variable rate loans offered at the Prime Rate or other short-term interest rates. In most cases, a line of credit is set up so that you can withdraw cash as and when required.
Regards,
Jessica.
Hi,
"What type of land to construction loans exist?"
The various options available as land to construction loans are fixed rate mortgages (FRMs), adjustable rate loans (ARMs) and Option ARMs. The loan terms offered with the FRMs and ARMs vary from one lender to another.
Know more about these home loans from our sections on fixed rate loan and adjustable rate mortgage.
Thanks,
Caron.
"What type of land to construction loans exist?"
The various options available as land to construction loans are fixed rate mortgages (FRMs), adjustable rate loans (ARMs) and Option ARMs. The loan terms offered with the FRMs and ARMs vary from one lender to another.
Know more about these home loans from our sections on fixed rate loan and adjustable rate mortgage.
Thanks,
Caron.
Hi,
VA loans can be fixed and adjustable rate home loans available to veterans and qualifying members of the armed services.
The fixed rate VA loans are available for loan periods of 15, 20, 25 and 30 years. The 3/1 and 5/1 year hybrid ARMs are popular VA loans. In most cases, these hybrid loans allow for a 1% annual rate adjustment after the fixed rate period while the rate cap for the entire loan term is 5%. The total loan term is 30 years for either of the popular hybrid VA loans.
VA loans can be fixed and adjustable rate home loans available to veterans and qualifying members of the armed services.
The fixed rate VA loans are available for loan periods of 15, 20, 25 and 30 years. The 3/1 and 5/1 year hybrid ARMs are popular VA loans. In most cases, these hybrid loans allow for a 1% annual rate adjustment after the fixed rate period while the rate cap for the entire loan term is 5%. The total loan term is 30 years for either of the popular hybrid VA loans.
Hi,
"What VA loans for O-2 military exist? "
You can check in at http://www.va.gov/ for more information on VA loans.
Thanks,
Jerry.
"What VA loans for O-2 military exist? "
You can check in at http://www.va.gov/ for more information on VA loans.
Thanks,
Jerry.
Hi,
"What companies are best for the best loan options? "
You can go through our section on Ranked Lenders. Though we don't have a list of lenders operating in South Virginia, but there are lenders who offer services in various states. So I think you can get to know some of the lenders here who also offer loans for properties in South Virginia. Just contact some of them and enquire about their services.
Best of luck :)
Caron.
"What companies are best for the best loan options? "
You can go through our section on Ranked Lenders. Though we don't have a list of lenders operating in South Virginia, but there are lenders who offer services in various states. So I think you can get to know some of the lenders here who also offer loans for properties in South Virginia. Just contact some of them and enquire about their services.
Best of luck :)
Caron.
"Could a loan for an RV be put in with the land loan?"
I don't think you can get anything like that.
I don't think you can get anything like that.
"Could a loan for an RV be put in with the land loan?"
I doubt whether this would be possible at all. RV is much more like a car, than a house or land, as considered by your bank.
In case you are not able to repay, it is lot easier to run off with or hide the RV compared to a land. That's how the banks would look at it.
In addition to that, your land can appreciate depending on the development in your area but an RV will depreciate which leaves little to recover in case it is repossessed.
But you may check out with different banks and financial areas in your area as most of them come up with different types of offers frequently and if you are lucky you may get one.
Colin
I doubt whether this would be possible at all. RV is much more like a car, than a house or land, as considered by your bank.
In case you are not able to repay, it is lot easier to run off with or hide the RV compared to a land. That's how the banks would look at it.
In addition to that, your land can appreciate depending on the development in your area but an RV will depreciate which leaves little to recover in case it is repossessed.
But you may check out with different banks and financial areas in your area as most of them come up with different types of offers frequently and if you are lucky you may get one.
Colin
can i borrow money against it ?
Hi mary!
Welcome to forums!
A query similar to you has been replied to in the given page:
http://www.mortgagefit.com/loantalk/land-own.html
Take a look at it. I hope it will help you.
Sussane
Welcome to forums!
A query similar to you has been replied to in the given page:
http://www.mortgagefit.com/loantalk/land-own.html
Take a look at it. I hope it will help you.
Sussane