This isn't really about building just yet but I thought this was the best place to ask. I've been doing some reading about financing the purchase of land. I already have the lot picked out and it is in a gated development, with water and power already. I'm just having trouble sorting out the lender stuff. I read many national lender don't do land purchases and it's better to go local, as they know the area.
I also read that many land loans require 25-50% down for raw land loans but land that is developed or finished (roads, water and power access) down payments can be as little as 10-20%. I am now finding a lot of variation among lenders in terminology. One I looked at just has "land loans" regardless of development. Another requires 20% down for "land loans" and 10% down for "lot loans". There are also "construction loans" of various types. It gets very confusing. I am looking at a lot in Idaho and trying to get 10-20% down. Any suggestions on a lender or other suggestions that can clear up my confusion?
Gated communities tend to be hostile to small houses and tend to have onerous covenants, I looked at quite a few and none of them would accommodate a countryplans DIY kind of scenario, so read carefully the title search discovery documents. If you are building yourself it will be incredible difficult to get loans for construction.
If finances are tight consider someplace with no utilities in bum****landia, with no HOA or covenants, and loose build regulations. Haul water, and build shed and slowly establish infrastructure as money comes in.