Land Loan

[mtholton]

Great feedback everyone, plenty of options to consider. Has anyone had any luck finding a 30 year fixed rate in MN or WI?

 

[gwm]

Great feedback everyone, plenty of options to consider. Has anyone had any luck finding a 30 year fixed rate in MN or WI?

I could of had a 30 year fixed with Badgerland Financial if I wanted. I chose not to go out that long.

 

[kl9]

I could of had a 30 year fixed with Badgerland Financial if I wanted. I chose not to go out that long.

Badgerland will finance MN as well. You may have to reside in WI though? Not sure

 

[IkemanTx]

I just closed a loan on my 40 acres Friday. $50.5K purchase price and I financed $40.4K. I went with 15 years fixed rate at 5.96%, hoping to pay it off sooner, but I didn't want the balloon in case I do not. Closing cost on such a small loan were high (almost $2,500), but the process was easy enough. I used Northview Bank out of Finlayson (found them while googling the same question) and the land is in central MN (near Milaca). I talked to a couple other banks, but most focused on balloon instruments (59 months being the most common) for hunting land.

Man, I wish we had y'all's land prices around me. 40 acres at a very reasonable price is about 215k


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[gwm]

Badgerland will finance MN as well. You may have to reside in WI though? Not sure

Correct, I am in WI.

 

[bwoods11]

Great feedback everyone, plenty of options to consider. Has anyone had any luck finding a 30 year fixed rate in MN or WI?

How much do you have down. I think 25 is possible with some banks/lenders. They might do 10 year long and with 25 year amortization.

 

[Ogematwo]

How much do you have down. I think 25 is possible with some banks/lenders. They might do 10 year long and with 25 year amortization.

Great feedback everyone, plenty of options to consider. Has anyone had any luck finding a 30 year fixed rate in MN or WI?

Untied FCS in Medford did a 30 year with 20 percent down.

 

[Doohop65]

Do yourself a favor and get a fixed. Any of the farm credit system in Wisconsin should get you there. Which one you use depends on your physical home address.

If there is ag land on the property fsa loans are good as you can finance 100% but their are hoops to jump around in.

This is an unpopular opinion but if you can't Qualify for a fixed don't get the loan. No hunting land is worth not being able to pay if your situation changes before it resets.

 

[MoBuckChaser]

And if some of you guys do make monthly payments, try and set it up as bi-monthly. Split the payment in half and make a payment every two weeks. It will knock almost 3.5 years off a 15 year mortgage, with no extra money added.

 

[Ben.MN/WI]

If you have a house, could you look at having it re-appraised if the values have increased lately? Then you could get a home equity loan to use for the land. That's what I did when I bought my wi hunting property. Even if you recently bought your house, you might be surprised at what a new appraisal will say. You can't beat the interest rate on a home equity loan. It really pays to look around with this stuff since you could save a bunch of cash. Then you can use that money you saved on more land!

 

[TMIL]

And if some of you guys do make monthly payments, try and set it up as bi-monthly. Split the payment in half and make a payment every two weeks. It will knock almost 3.5 years off a 15 year mortgage, with no extra money added.

Technically, there is extra money added, but this is an outstanding thing to do!! Mo is right-on with time-frame and you will also save $$thousands in interest. I would also suggest taking it a step further. Pay extra as much as you possibly can, especially early on. Instead of the night out, dinner and a movie with the wife, go ahead and put $100 towards the mortgage. Make it a habit and you'll have the note paid off WAY early and save $$$$$$$$$$$$!

 

[MoBuckChaser]

Take it another step further and set it up on automatic withdrawl from your bank account. Some banks will knock off up to another 1/4% for doing this.

 

[mtholton]

My plan would be to put higher than 20% down and look for a 30 year fixed rate if I can find one. I've called a few places and thus far 20 year fixed is the longest. Most seem to want to do a 15 year fixed or some type of ARM program that I wouldn't want to sign up for.. I'll try United FC in Medford today.

 

[bwoods11]

Keep in mind that variable rates such as 1 over prime are available. I passed on this a few years back (rate was 2.5%).

Kick myself now. The rate was 2.5, but it had a clause that it will never go above 5% in 10 years.

Rates will go up, but, and this is key... the Government debt is higher if rates stay high. They don't want to pay any more than we do.

19 trillion borrowed.... something to Watch?

 

[MoBuckChaser]

Keep in mind that variable rates such as 1 over prime are available. I passed on this a few years back (rate was 2.5%).

Kick myself now. The rate was 2.5, but it had a clause that it will never go above 5% in 10 years.

Rates will go up, but, and this is key... the Government debt is higher if rates stay high. They don't want to pay any more than we do.

19 trillion borrowed.... something to Watch?

Coming from a guy that took out his first property loan in 1980 at 18% interest on a 3 year ARM, 2.5% is or should be a no brainer.....

 

[H20fwler]

Man, I wish we had y'all's land prices around me. 40 acres at a very reasonable price is about 215k


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No kidding, farm ground in my county is 10K and up with rough ground going for 5K and up....and every few years they keep reassessing our taxes.

 

[bjseiler]

Painful here too. Farm next to me is for sale at $12.5K/acre. 75% wetland and 25% bad farm ground. They are just hoping a developer wants it for something.

 

[Bigshooter19]

Dairy country not far from me is going for 20k/ac. Just insane. Rec land for anywhere between 1000-5000 depending on how good of land you want.

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[MoBuckChaser]

Rec land in much of central and northern MN can be had for $1000 or less per acre.

Yes, and we all know the reason......

 

[bwoods11]

Depends on the area of MN. My area is still pushing 2000-3000/acre. Saw a sale recorded by Parkers P/Urbank, 160 acres with pole shed/man cave for $530,000. All woods.