The first thing to know about vacant land financing is that Most “Out of State” Banks will not finance vacant land in Colorado unless you have the type of relationship with your bank that everyone envies. Here are a few options to consider when you are considering purchasing Colorado properties.
First option: Check into Refinancing your Home. This method will allow you to write your payments off on your taxes whereas a land loan will not. And it might also be the easiest option for you. We recommend that you check with your local banker or accountant and see how refinancing your home might benefit you. Do this as soon as you have determined that purchasing land in Colorado is what you have decided to pursue so that you will know exactly where you stand.
Second option: Local Banks in our area can provide you with excellent sources of financing for mountain properties. Most banks require 30 to 35 percent down and the terms and interest rates will vary depending on the bank. Some mortgage companies will finance with as low as 10-25% down. We will be happy to assist you in finding local financing that will work for you.
Third option: Owner Financing! Look for properties that offer easy owner or developer financing. A few of our private owners and developers will finance you when you purchase their properties so be sure to ask if this is important to you.
Fourth Option: Get pre-qualified first! Contact us for a list of local Lenders that can get you started. We have good local financing for vacant land and mountain properties.
One of the best things that you can do before you start looking for land if you are going to be financing your new property is to get pre-qualified first. Some of our past customers have fallen in love with properties that were just out of their comfort range and a blessing can become a burden really fast if you over extend and we don’t want that to happen. So dealing with this right up front can make this a fun and exciting process when we are focusing on properties in your price range.