: Completely undeveloped land with no utilities, sewers, or road access.
: For plots with access to roads, water, and electricity. Lender View : Considered the least risky land loan.
: Higher down payments (20%–30%) and interest rates than improved land. Raw Land Loans : can i get a loan to buy land
The type of loan depends heavily on the land's state of development. :
: Typically feature lower interest rates and down payments (often 15%–25%) compared to other land types. Unimproved Land Loans : : Completely undeveloped land with no utilities, sewers,
: Land that may have basic road access but lacks essential utilities like sewer or power.
Executive Summary Yes, obtaining a loan to buy land is possible, though it is fundamentally different from a traditional residential mortgage. Because vacant land lacks a structure to serve as immediate collateral, lenders view these loans as higher risk. Consequently, borrowers should expect stricter qualification criteria, including higher down payments and interest rates. 1. Core Land Loan Categories : Higher down payments (20%–30%) and interest rates
: Highest risk; often requires a detailed development plan.
