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Land For Sale In Texas-How To Get A Loan
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Are you interested in buying land for sale in Texas?  You will need to get ready early on for the loan process. Since the great economic collapse it is a whole new world of getting loans. You might not want to call it this, but thatís just the way it is. It is a different lending environment in America than ever before.


While looking to buy land for sale in Texas we should go over some conventional loan procedures and we resolve to discuss some alternative loan methods. If you are in the beginning stages of locating that perfect tract of land and plan to retire on it, take the kids hunting on or maybe youíre looking for commercial land for sale in Texas.  Donít wait until you find the land to begin the loan process. Rural land for sale in Texas without any improvements has become the hardest to get loans for.  Up until a couple of years ago, you could pick out land, go to the bank, and borrow the money, no problem. But those days are gone and if not forever undoubtedly for a long time.


I would suggest starting with the bank you use for your personal checking.  See if they even do rural land loans. If they donít, go to your nearest agricultural lending institution. In Texas that would be Texas Agri Land Bank. Gather up your last three years tax returns, fill out their loan application.  If you are curious why you would start looking for land by going to a bank it is so you will know how much acreage you can get and what your down payment and terms of your loan will be. It is much better in negotiations with a seller if you know you can perform on a loan.


Let me summarize some other solutions. If your credit is not great or if you canít afford the down payment for your land for sale in Texas one of the first things you can do is use additional collateral like 401K, or home equity or business equity. You could use some unconventional assets like equity in equipment if thatís your business assets. Another unconventional method is called cross collateralization which is when a bank will attach a lien on an asset you own as well as the property you are trying to buy. The problem with some of these methods is that they may only work with the banks if you credit is great and you are just short of the down payment.  This wonít help everyone who has a low credit score.


With the current unfriendly lending environment in the financial market you should at the very least check your own credit and find out if you are going to be able to buy land, should you spend the time to find that perfect piece of land for sale in Texas.  I would hate to go through all the searching, find the property and then find out I couldnít buy it. 


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