Land only loans can sometimes be had from credit unions- they may only loan on land with power and water- credit unions seem more open to land loans . Part of the reason is if a buyer defaults on a home, it’s easier for banks to dispose of it. They don’t want to take on an asset (land) that they can’t easily sell.
Although you can find a land loan, they won’t be at the low interest rates that a land plus a home would be at- land only loans are considered to be more risky for the loan institution.
Typical rate, as of May 2020 , is 6-6.5%. They’re often shorter terms as well. (Not 40 yrs like a home) that’s about the same rate as an owner contract.
GESA and P1FCU , and Farm Credit Bureau
Are the ones I know of.
On thought is to secure the land at the higher rate, and as soon as possible convert it to a construction loan with a different company- in other words, do a RE financing, roll construction (often has to be planned, by a contractor) into the loan .
There may be loans for Native Americans through 1stTribal- that’s called an 804 loan. Usually homes, but not just land.
I’m familiar with the financing
Because I’m a real estate agent in North idaho- and frequently get these questions from buyers.
Your state may have other opportunities- but that’s how things roll here in Idaho.
Take care , Ella in Idaho
