Anyone get their rural acreage/property financed????

I'm in the process of tracking down an older farm house fixer upper with between 20-30 acres of land, and want to finance it with anywhere from 30-50% down, have it paid off with 5 years or so.

Just wondering if any acreage or rural home owners go through the financing process and have a lead for me to go on in the Appallachian Regions.

Some of the to big to fails won't finance any property where over 30% of the value is in the land, when that's exactly what I'm looking for, so have to find another alternative means of financing.

Any help???

credit unions.

or perhaps see if any Islamic banks can finance you (no interest yay)

Islamic Banking

Originally posted by benrl
credit unions.

or perhaps see if any Islamic banks can finance you (no interest yay)

Islamic Banking

I don't think there are any in the states....plus if they found out I was a Christian ......a mystic one at that .....with a side order of Nonduality ......well I'm sure I'd get my pre-approval letter cough.sarcasmcough.

Will look into C.U.'s though. Thanks

reply to post by dominicus


I would think that with such a high initial stake and short time to completion of the loan, banks would be falling over themselves to get your business.

Is the property purely residential or are you intending to work it? and would the capital to pay back the property be principally coming from the farming of the property?

Originally posted by chr0naut
reply to post by dominicus

 

I would think that with such a high initial stake and short time to completion of the loan, banks would be falling over themselves to get your business.

Is the property purely residential or are you intending to work it? and would the capital to pay back the property be principally coming from the farming of the property?

Residential at first, with some light hobby farming along the way. As far as capital off the land ...well that's more of a try different things and see what works deal as far as fruit/veg, Cob-House classes, B&B later on .....so the paperwork it would mostly show to be used as residential.

Capital to pay back would be coming off of a percentage of paychecks each month, but since I'm looking in 160k range and down, w/ 30-50% down payment, would easily be able to pay off in 5-10 years. Plus mother is retiring in 3 years, so she'll come stay with me and pay half of mortgage as well...or just send her half towards principal

reply to post by dominicus


Just bought a small 8 acre piece of land that butts up against county land, they asked me what I was going to do with it and I told them for hunting, also asked if the land was vacant, it was not structures, if you could try and get it as a vacant land loan it may work, let them know its for hunting or summer get away, and of course since its a second home/ property the down payment is around 30- 45%.

Just closed on mine July 11th.

Have you considered a quick deed through a lawyer or a land contract with the current owner? instead of going through a bank

find a broker they only make $ if you get $.

Originally posted by lifeisgreat
find a broker they only make $ if you get $.

Found a broker. Said the property has to be owner occupied and backed by USDA, up to 10 acres only....guess. so now its on to the next

reply to post by 19KTankCommander

Have you considered a quick deed through a lawyer or a land contract with the current owner? instead of going through a bank

I'll consider anything.....alot of the properties I'm looking at, are houses w/ 20+ acres, foreclosures owned by banks.....that makes it a little bit harder to do owner/contract....

but if there is owner financing possible on the right one, then I'd go for it

reply to post by dominicus
You may can find what you're looking for with owner financing available if you have 30% to put down. My mother sold her house owner financed with 20% down, and the guy has been paying double notes each month to pay it off quickly.

See if you can get the dwelling re appraised at a higher value.

That might even out the ratio

reply to post by dominicus


if the banks own the home/farm through foreclosure, go to that bank and make them an offer on the place and let them know what kind of money you will put down as long as they finance you. Since you are looking to redo a place let them know that you will take it as is, recommended getting an inspection done on the place prior to negotiating with the bank, this way you are armed with potential issues on the property. Once you are armed with the issues and you bring it to there attention they may just want to unload the property for a short sale. Hopefully you will get a price reduction as well. Make it a point to find out how long the bank has owned the properties this way you can use that as a tool to make them move it to you. Also see how many other properties they have and how long they have been sitting on them, Go to you county court house with a list of the properties that the banks own and look up the value of each one and go through the tax records and see how long the bank has been sitting on them. All the counties around me I can do this online through there county web sites.

If its a small Farm have it classified as a Hobby Farm at first. We here in Wisconsin have a lot of those. No USDA needed.

Keep us posted on how it works out.

Originally posted by dominicus

Originally posted by benrl
credit unions.

or perhaps see if any Islamic banks can finance you (no interest yay)

Islamic Banking

I don't think there are any in the states....plus if they found out I was a Christian ......a mystic one at that .....with a side order of Nonduality ......well I'm sure I'd get my pre-approval letter cough.sarcasmcough.

Will look into C.U.'s though. Thanks

There are plenty in the US, and they don't care what your religion is, its more about upholding Sharia Banking Laws, which forbid Interest.

eta links with info

lariba

IBNI

google land banks + your state. They may be a good option.

Also, not sure about where you are but Texas has a special land financing arrangement for veterans that is to buy just land or land and house. You don't have to be a veteran in Texas for some of there programs on foreclosures. In Texas the public part is called Trax II. I don't know if other states have something similar.

My ex & I bought 10 acres under the Trax II for the balance on the foreclosed note at one percent interest above the original loan. The only condition was that it could only be in one person's name and it couldn't be sold for 3 years. Yes, he got it in the divorce.

Originally posted by dominicus
Any help???

FWIW. Just my .02.

Spend every penny you can scrape together right now and buy physical gold/silver. Do it now. Right now. Follow King World News for coming attractions for the US and the world (the people being interviewed are frequently multi-millionaires/billionaires). In a year or two you can cash out your metals position for an incredible land value. That's my first tier advice.

I've been liquidating my RE lately because I see a move in my future. I've been trading land thru craiglist and I have offers to trade on real-estate buy/sell/trade sites. Keep your eyes open and search, search, search. Point being: Lots of motivated sellers. The market is flat-lined. It's a buyers market.

If you absolutely have to buy now, buy an amortization guide and make *lots* of lowball offers utilizing owner financing. Keep your cash outlay to a minimum for the transaction. I easily make 20 offers for every offer accepted. NEVER, never, never, ever grow too attached to any property. Something better will show up "tomorrow". I absolutely guarantee it. Follow these rules consistently and you'll have more property than you could possibly want. Or just that one special homestead.

Don't be in a rush!!

reply to post by juspassinthru

People were telling me to buy gold when it was 1800 an ounce, then it crashed. May crash again. In land at least you can have chickens, crops, fruit/nut tree's feeding eventually, some properties I've been looking at already have green houses in place with stocked ponds (fish for food)...... just saying......

It is a buyers market though........I would rather get something now because real estate is starting to go up. In some place near cities, there are 10-20 offers on the same place......its starting to get nasty and I've been looking for the perfect place for the last year or so.....

Originally posted by dominicus
People were telling me to buy gold when it was 1800 an ounce, then it crashed. May crash again.

It may crash again. But the simple fact is: Washington (think plunge protection team, banksters) and Wall Street (too big to fail/prosecute) are artificially manipulating the metals market. Massively.

Second simple fact: This criminal trash running our country has almost reached the point where they can no longer manipulate the markets as the dollar looses reserve currency status. The coming crash will be yet another shot-heard-around-the-world. Earth shattering stuff.

You can be proactive and ride the wave ..... or you can be reactive and be swamped by the coming tsunami. Your call.

LOL,

I bought "open land" so I can tell you that Farm Credit Services is a good choice. Financing farms and open land in the boonies is exactly what they do.

www.farmcreditnetwork.com...

Are you working with a realtor in from the area you are buying the land from? I know it raises the cost a bit because they get paid but it is SOOOO worth it! Then I would talk with bank that owns the property as another posted mentioned. Next I would talk with banks in that area. I live in WV. Our local banks often give loans for land. The only thing you may run into are zoning issues and if you find a good realtor they will do that for you. Best of luck to you. Life in the wonderful in the Appalachian Mountains. There is a beauty that found no where else in the world, at least I think so. Again, good luck!

It may crash again. But the simple fact is: Washington (think plunge protection team, banksters) and Wall Street (too big to fail/prosecute) are artificially manipulating the metals market. Massively.

Could not agree more. The Feds are pissed because so many people-myself included-have taken their physical gold out of Bank safety deposit boxes and have hid it on their land. They can't control it and that makes them very angry. By forcing the market to deal with unstable prices-along with pump and dump from the FED-they hope people will return it to brokers to be sold-and they can force the Banks to illegally cooperate and tell them how much gold you are hording.

My response:

No chance in hell. Or better said the sign in Carlos Marcello's office at his Churchill Estate in the Louisianan swamp.

Three can keep a secret if two are dead.

There are Court ordered bankruptcy auctions every single day here and some land can be bought for 10c on the dollar as the banks just want to get rid of it. Unfortunately, almost all of these are cash day of sale, or bank draft.
Land can be bought in Eastern Kentucky Appalachia for as low as $250 an acre. With a 10% down payment local banks will finance the purchase with a fair to poor credit score.

The problem with that is this is a very poor, sad part of the state to live in. Even for a wilderness retreat so much of this area is a trash dump and the land is useless for agriculture-the only thing it's good for is coal mining.