The perfect home begins with the perfect location.

Buy it now. Build when you’re ready.

You’ve finally found it. The ideal spot where you want to build your custom dream home. But you need financial help to acquire the land. No problem. We can help individuals with the unique need of land-only financing as the first step toward building your home. Lot loans are designed to provide you short term financing, so you can purchase land on which you intend to build a home. In addition, only a 20% downpayment is needed to secure your loan.

Benefits of a Construction Loan

Roll into permanent financing.

The remaining balance on your lot financing can be rolled into the cost of your home loan.

Only 20% down.

Finance up to 80% of the cost of the land and funds can come from your own money or gifts from family or land equity.

Build when you’re ready.

There is no time limit on when you build, so you can take your time or even resell the land if your plans change.

Convenient payments.

Your monthly payment can be made at any Midland States branch or you can pay online.

Things you may want to know before buying land.

When purchasing the property, insist on a warranty deed and title insurance to make sure you’ll have clear title to the property.

If you’re buying raw land and planning to make improvements, make sure that the services (for example, sewers and utilities) you’ll need are available. Get a staked survey of the property. Be concerned about easements and access since both will influence the property’s value. These issues are generally defined when you are buying improved property, zoned for your intended use.

Depending on your financial situation, a home equity loan or refinancing your current mortgage with cash out to purchase the land may meet your needs better than a lot loan. Since your current home secures the home equity loan, that should mean a lower interest rate for you. In addition, the interest on your home equity or mortgage loan may generate a tax deduction on your income taxes.

The interest expense on a lot loan may be tax deductible if the land is held as an investment. Consult with your tax adviser to get to get a better understanding if this deduction is available to you. And don't forget about any property taxes you'll have to pay before and after you build.

Your trusted lending partner.

Most people will only buy a few homes in their life and each home purchase may be the largest financial decision they have made to date. So, it's understandable that you need to find an option that is right for your financial situation and the right expert to help you through the maze of home financing. That's were we come in. Whether you've purchased homes before or you have little to no experience in buying a home, we will make sure no question is left unanswered. We believe in doing the right thing, for the right reason – that means you will receive personalized service through each step of buying your dream home. We do this with a team of experienced mortgage lenders who understand the industry and will help you with what you need, what to expect and how to get in your home quickly and easily. After all, that's what we do - everyday.

Get answers, apply online or use our handy calculators.

Call us.

Still have questions?

We’re ready to help answer your questions or assist you with your application. Just call us toll-free at 1-855-MY-MIDLAND or stop by any Midland banking center.

Apply online.

Apply online today.

Save time and a trip to the bank when you apply for your mortgage loan using our online application. We’re ready to help if you have questions. Apply now

Online calculators.

Online calculators.

We'll help you learn more about getting a home loan by giving you online access to resources and tools to help make getting a loan easier. Online Calculators