Buying land & later building on it, is generally a process with three financing needs.

• First, money is needed to purchase the land.
   
• Second, money is needed to construct the improvements (home, outbuildings, etc.)
   
• Third, owners will want long-term financing once the construction process is competed.

It is usually best for borrowers to obtain acquisition, construction, & permanent financing in ONE loan. Such financing is desirable because it requires only ONE closing. The alternative is one loan & closing to acquire the property, a second loan & closing to finance construction, and a third loan & closing to obtain permanent financing.

Contact you lenders regarding specific loan packages in the area. Also, speak with a tax professional to learn the tax implications of each loan.

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