Is there anyone that can do land loans anymore for raw or improved land? I have several people looking for loans with good credit. All are refi’s. Please let me know and thanks.
Land loans are tough in this economy. Private money is my favored way to go. There are two ways to improve the land temporarily which would require some money afterwhich, loans could be secured. One would be to add a self service car wash and the other would be to add advertising signs if the property was in a high density area.
This would make the land turn into a cash flow. The cash flow could be hypothicated at the bank and at bank rates based upon the borrowers credit. This will also help to pay off the land so that ultimately, when the city grows up around the land it will be worth a fortune in comparison to what the costs were, both for the land and the improvements mentioned above.
Rob