How Can I Buy Farmland With No Money Down?

Applying for a hobby farm loan. It helps to get advice from a mortgage broker that specialises in hobby farms before deciding to apply for a home loan. They can help build a case that addresses the bank’s requirements on land size, location and how much income may be generated from the operation.

How do you finance rural land?

How much can you borrow? Land size up to 10 ha: You can borrow up to 95% of the property value. Land size up to 50 ha: Up to 90% of the property value if you are close to a major town, otherwise you can borrow 80% of the property value.

How much deposit do I need for a block of land?

As a general rule: For land that is less than 2.2 hectares and up to a maximum size of 11 hectares, most lenders will accept a 5% deposit plus costs such as stamp duty or Lender’s Mortgage Insurance (LMI) – or a loan-to-value ratio (LVR) of 95%.

How much deposit do I need to buy rural land NZ?

As a general rule, you’ll need a deposit of 20% of the purchase price of the property. But there are all kinds of low deposit options too, along with KiwiSaver and first home buyer’s grants. Find out more here. Once you’re ready, a chat with one of our Mobile Mortgage Managers will help you figure out your finances.

How much deposit do I need to buy land in Queensland?

For land that ranges from 11 hectares up to 60 hectares in size, you’ll need a deposit of at least 20% (or an LVR of at least 80%) plus costs.

How much deposit do you need to buy land in NZ?

As a general rule, you’ll need a deposit of 20% of the purchase price of the property.