How is financing with lenders looking for land acquisitions in todays current market?

In Buying Property - Asked by Saundra Lee A. - Nov 28, 2010
Report Abuse
Answer this Question

Answer(s)

Michael J.
Fort Lauderdale, FL

Not good. Land is the hardest property type to value as it is also the riskiest in terms of future value. Most lenders are NOT financing land in general. If it is a good parcel of land, interested lenders will typically do low leverage (<50%) and will likely require some form of recourse.

Nov 30, 2010
Report Abuse
Richard F.
Broker/Agent
Oceanside, CA

I've been looking for 2 years for raw land financing for my clients and the best I can find is 25-30% LTV, only if it's mapped. Ours are not mapped, therefore no loans. Good luck to you!

Dec 1, 2010
Report Abuse

Welcome to Answers

LoopNet Answers is where the commercial real estate community shares what they know to help each other out. And it's all for free.

Ask a question to get advice from brokers, investors, professionals and local experts.

Answer questions to raise your visibility as a trusted advisor and build new relationships.

Ask a Question

Post Question