Union Bank
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Land Loans

Union Bank is proud to offer Land Loans in Vermont and New Hampshire. Our Land Loans are designed to finance the purchase of buildable lots or undeveloped property, for future construction purposes. Land Loans typically have unique requirements, such as higher down payments, specific acreage limits,  must be buildable land, and may have shorter terms than traditional mortgages.

If you are ready to take the first step toward owning a piece of land in our beautiful region, you may start your Land Loan journey today by applying online through our secure and user-friendly platform. If you prefer a personalized approach, reach out to our mortgage specialists contact our knowledgeable lending team for expert advice.

Begin your land ownership journey with Union Bank today and secure the financing you need for your dream property!

Frequently Asked Questions about Land Loans

  1. What is a Land Loan, and how does it work?

    A Land Loan is a type of financing used to purchase vacant land or undeveloped property. It’s different from a traditional mortgage or construction loan, as it specifically caters to the unique needs of land purchases. Land Loans may come with different terms and requirements than other loan types.

  2. What are the eligibility requirements for a Land Loan?

    Eligibility requirements for a Land Loan may include a strong credit score, stable income, sufficient cash reserves, and a higher down payment than a traditional mortgage. The specific requirements can vary, so it’s essential to consult with our mortgage lending team for detailed information.

  3. Can I use a Land Loan to finance a property with existing structures?

    Land Loans are primarily intended for financing vacant land or undeveloped property. If the property you’re interested in has existing structures, you may need a different type of loan. Speak with our mortgage lending team to discuss your options.

  4. What is the difference between a Land Loan and a construction loan?

    A Land Loan is used to finance the purchase of vacant land or undeveloped property, while a construction loan is designed to finance the construction or renovation of a home or building. If you plan to build on the land you’re purchasing, you may need a home construction loan after securing the Land Loan.

  5. What are the typical terms for a Land Loan?

    Land Loan terms can vary depending on factors such as the loan program, property type, and borrower qualifications. Land Loans may have shorter terms, higher down payment requirements, and higher interest rates compared to traditional mortgages. Consult with our mortgage lending team for specific terms applicable to your situation.

  6. Can I refinance a Land Loan?

    Yes, it is possible to refinance a Land Loan, potentially lowering your interest rate or adjusting the loan terms. Speak with our mortgage lending team to explore your refinance options.

  7. Do I need a down payment for a Land Loan?

    Yes, you’ll typically need a down payment for a Land Loan. Down payment requirements for Land Loans can be higher than traditional mortgages, often ranging between 25% to 40% of the land’s purchase price. The specific down payment requirement will depend on factors such as the land type, acreage, and your financial qualifications.

  8. Are there any restrictions on the type of land I can purchase with a Land Loan?

    There may be restrictions on the type of land you can purchase with a Land Loan, depending on the loan program and property characteristics. Factors such as zoning, access to utilities, and the land’s intended use can impact eligibility. It’s important to discuss the specific property you’re interested in with our mortgage lending team to ensure it meets the loan program requirements.

  9. Can I use a Land Loan to purchase agricultural land?

    Our Land Loans are designed to purchase buildable land. While acreage can be used for agricultural purposes, or land may be dually zoned for residential and agricultural use, our Land Loan product is geared towards the opportunity to construct a dwelling at some point in the future. Consult with our mortgage lending team to explore your options for financing agricultural land.

  10. What documents will I need to provide when applying for a Land Loan?

    When applying for a Land Loan, you’ll need to provide documentation similar to a traditional mortgage application. This may include proof of income, tax returns, bank statements, and information on your existing debts. Our mortgage lending team can provide you with a comprehensive list of the required documentation.

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