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Land and Construction Loan (All in One)

 The reason many buyers decide to build a new home in a subdivision only offering one builder versus building a home on a separate vacant lot is because the developer and builder offer the vacant lot the house is being built on in the total contract cost.

This convenience alleviates the buyer having to purchase the land prior to the construction with their own funds or having to get a loan on vacant land which usually requires a large down payment the buyer usually needs for the home construction itself. So the option of purchasing land isn't usually a viable option for buyers looking to build a new house on the exact land they want to build on.

Well that problem is in the past. The ability to pick the land you want to build on with the builder you choose to build with is a loan program that is now available. It originally seems like a strange concept, however when you think about this ability it makes you realize how great of a loan product this is for buyers, land owners, and real estate professionals.

The listing agent trying to sell land now has a legitimate tool that provides them an option to sell their client's vacant lot. This loan choice now also gives an agent listing a large amount of land an additonal opportunity into possibly starting dialogue with their seller into creating more smaller lots which leads to more closings and volume versus just selling one piece of land.

Buyer's no longer are obligated to build a home crammed in a subdivision with a lot that is barely larger than their house. This construction loan now gives a homebuyer an advantage to actually build with who they want and where they want.

Hopefully learning of this opportunity will reach out to that one buyer trying to figure out how to build their future home on that perfect land, or that agent trying to figure out how to help the next person trying to purchase the vacant land they are selling. 

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