Here’s How To Buy Investment Land From American Vacant Land With Owner Financing
Do you want to buy more land in other areas?
Have you tapped out your funding sources but still want to increase your land holdings?
Do you have less-than-perfect credit but still want to have land you can use?
Here are your options, including one option that you may not be aware of…
Buying Land On A Budget
There are many ways to buy land property. This variety of funding helps buyer while accessing all sources available to them, or using leverage:
- Some buyers use their own cash
- Some buyers use traditional bank financing
- Some buyers work with private money lenders
All three of these ways are popular ways to fund purchase.
But there’s another way to buy land that you may not be aware of: by using landowner financing.
What Is Land Owner Financing?
Land owner financing is when the owner of the land finances the purchase of the land themselves. The owner acts just like a bank, giving you the land in exchange for receiving regular payments for the land until it is paid in full. Typically, the land itself is the collateral.
Think of it just like getting a mortgage from the bank, but without all the hassle and paperwork and credit checks and pre-approval.
Landowners like owner financing because it allows them to sell more property, including those who might not normally be able to afford the purchase, while also providing a steady stream of cash flow.
Land buyers like owner financing because it allows them to buy property even if they don’t have the full amount of money available. With reasonable monthly payments, everyone can own land.
Land Owner Financing: How Does It Work Here At American Vacant Land?
When you buy land from us, many of our properties have landowner financing available, so if this is something that interests you, just reach out and let us know.
We’ll complete the purchase as normal and we’ll still require an earnest money deposit. However, instead of the full payment due upon closing, we’ll set up a payment plan that includes the principal plus nominal interest, as well as the term of the loan.
The land investment is the collateral itself, so if you no longer want the property, you can simply return it to us and you will not be expected to pay anything else.
There is no penalty for early payment of the land.