Vacant Land Loans

Some people prefer to buy a vacant block of land released for sale in new housing estates or sub-divisions and then have a home built on the vacant land according to their plans and requirements.

How do Lenders/Credit Providers treat Vacant Land Loans?

Most lenders/credit providers treat it like any standard or normal loan. So when you offer vacant land as security you will be able to get a standard or normal loan. However, the lenders/credit providers will require that:

The size of the block of land does not exceed a certain acreage ( i.e. this will depend on the policy of each lender/credit provider)

The land is preferable inside major cities and regional centers as well as rural vacant land in lifestyle locations

The land must have direct access using all-weather road. Gravel roads are acceptable as long as they are well maintained, and the property can be accessed by a standard vehicle, not a 4WD

The land must be within the range to be connected to the electricity grid without excessive costs

Town water and sewerage services are not required as many Australian properties have tank water or septic tanks instead

Fully serviced and partially serviced blocks are both acceptable, however some lenders/credit providers will not approve a loan for more than 80% of the value of the property if you are unable to connect town water

The land can be zoned rural, rural residential or the equivalent for your state or territory

The maximum Loan to Value Ratio (LVR) is 95%. Most lenders will lend you up to 90% LVR on standalone vacant land as security

Loan Products Available for Vacant Land Loans

You must contact a reputed brokerage firm that has access to many lenders/credit providers. Its professionally qualified and expert finance brokers will assist you in choosing any of the following products:

Prime Home Loan

Near Prime Loan

Alt Doc loan

Bad Credit Loan

Do I have to Build or Construct on Vacant Land?

Some lenders/credit providers will take the land as security with no need to construct on the property in the short or long term. However, some lenders/credit providers will require you to build a house on the property (e.g. within 6-12 months of settlement). When choosing a lender/credit provider you should consider this aspect as it could force you to refinance or change lenders within 12 months of settlement if you have no intention of building on it.

Can I get an Alt Doc Vacant Land Loan?

Yes, you can get a alt doc vacant land loan with a specialised lender/credit provider if you are a Self Employed Australian. However, each lender/credit provider will limit the exposure to no more than 75% LVR and only accept vacant land that is no more than 1 are and located in either a cat 1 or cat 2 location (high population area).

Save yourself a lot of time and stress and contact Finance Me. The firm will help you in getting Alt doc vacant land loans.

Can I get a Bad Credit Vacant Land Loan?

Yes, you can get a alt doc vacant land loan with a specialised lender/credit provider if you are a Self Employed Australian. However, each lender/credit provider will limit the exposure to no more than 75% LVR and only accept vacant land that is no more than 1 are and located in either a cat 1 or cat 2 location (high population area).

Save yourself a lot of time and stress and contact Finance Me. The firm will help you in getting Bad Credit Vacant Land Loans.