What is a Lot Loan?

A Lot Loan, sometimes referred to as a Land Loan, is used to finance the purchase of a plot of land. These loans are a great option if you’re interested in buying a piece of land to build a home or utilize for business purposes. A Lot Loan is sometimes confused with a construction loan, which is another type of loan used by people looking to build a house. Construction loans are for those who want to buy and start building right away, whereas Lot Loans are a better choice for future home builders who have a plan but might not want to jump right into building and financing a home immediately. If you have circumstances pushing your building project out a year or so, then a land loan is likely a better choice for you.

Lot Loan Requirements