Generally, eligible collateral is vacant land you already own with legal road access and clear, insurable title. “Vacant” means no habitable dwelling on the parcel; sheds, fencing, driveways, or wells may be acceptable subject to underwriting.
Examples often considered (case-by-case) include residential lots, rural acreage or recreational parcels, waterfront parcels with no residence, and adjacent or extra lots next to your primary home without a dwelling.
Key requirements include legal access (public road or recorded easement), clear and insurable title with current taxes and acceptable lien position, boundary verification as needed (survey or plat), zoning consistency, and satisfactory environmental or flood review.
Typically not eligible (or may require a different loan type): parcels with a residence, landlocked property without legal access, uninsurable title or delinquent taxes, significant environmental issues, certain commercial or industrial tracts or income-producing farms, and leasehold or complex shared ownership structures not acceptable to underwriting. Location must be within our lending footprint.
Have more questions about a Land Loan? Start your Land Loan conversation with Home Equity Specialist at People Driven Credit Union.
