For many people, buying Texas land for sale can feel like a dream. Beautiful but as distant as the stars.
If you don’t have good credit or long credit history, it can be hard to qualify. But there is hope! If you’ve been searching for land for sale with no credit check or bad credit, you’ve found the right place.
Owner financing is the perfect way to get Texas land for sale. Here at Santa Cruz Properties, we offer a great selection of properties with owner-financing options. Want to know more? Read on!
How Do You Qualify for Owner Financing on Texas Land for Sale?
Qualifying for owner financing is a lot simpler than a traditional bank loan! The main goal is to convince the owner you can pay for the property during the terms you both agree on.
What you need for approval varies a bit depending on the owner and what they’re looking for in a buyer. Owners who offer financing options usually require a downpayment and proof of the borrower’s ability to repay the loan, which can be demonstrated through a stable income.
While there are risks like any other venture, it is generally safe to buy Texas land for sale. You’ll work with the seller to come to an agreement on aspects of the loan like interest rates, the length of the loan, and the type of owner financing you’ll use.
The Different Types of Owner Financing
While the owner finance purchasing process is fairly simple, the actual type of owner financing can vary. You’ll need to work with the owner so you can find the right option for both you and the seller.
Here are the various types of owner financing options you need to know about:
1. Holding Mortgages
The home buyer and homeowner have agreed that the homeowner will provide the necessary loan for the purchase.
2. Lease Purchases
This type is close to a rent-to-own agreement.
3. Land Contracts
A land contract is a legally-binding agreement that provides a secure way to purchase Texas land for sale.
4. Land Loans
This is a method of financing the purchase of a property at a later date.
5. Assumable Mortgage
An assumable mortgage is a financing option that allows buyers to take over the seller’s existing mortgage and use it to purchase a property.
Benefits of Owner Finance Land Buying in Texas
If you are unable to pursue a traditional loan but are still interested in purchasing property, owner financed loans have a lot of benefits you should keep in mind!
By eliminating the need to apply for a loan through a bank or lending institution, these loans can often close faster than traditional sales, making it perfect for those in need of a property sooner rather than later.
The loan parameters, such as interest rates, payment schedule, and refinancing options, are agreed upon by the seller and buyer. While normally, these tasks are handled by a bank or lending institution, the owner financing arrangement can lead to substantial savings over the term of the loan. If necessary, the promissory note can also be sold to an investor. All of these make it an excellent idea to buy Texas land for sale with bad or no credit.
Looking for Land for Sale With No Credit Check? Talk to Santa Cruz Properties!
At Santa Cruz Properties, we pride ourselves on helping you understand your financing options and finding the right land for your needs. Whether you’re looking for Texas land for sale to create your farm or build your dream home, our team is here to help answer all your questions.
We’re happy to walk you through the process so you can buy land even if you can’t get a traditional bank loan.