DING DING DING DING. We have a winner!!!!!!!

__________________
Husband, Father, Farmer, Livestock Nutritionist

*shaking head* When I first talked to this little local credit union (two branches) they were all interested and accommodating, but the fine print is gonna kill me! There's a real shortage of little local banks around here, I thought I had a winner but it's a dud.

I'm going to try Farm Credit before I apply formally with the local folks again. I talked with them at Empire Farm Days on Tuesday, they require 20% down, have good rates, and invest in farm property all the time. There's a location in the region we're house hunting in.

I'm going through NW Farm Credit Services...have the tentative yes, deal goes to underwriting tomorrow. Been easy to work with s far (14acres + construction loan for remodeling). Require a 80% loan to value....

How much cash on hand did they want you to have in addition to downpayment? The credit union wanted us to have another 20 grand...

That was a a little unconventional ....

Three parts, part 1 a down payment which was less than ten percent on the purchase price, then ten percent of the construction part of the loan, then 3 months of reserves. I was able to get an exception and thin out the "total" to about 11% of the overall loan cost up front BUT I am doing a purchase + construction all in one loan, and they get to the 80% loan to value by appraising the property + new building plans. The total remodel has to add up to a 80% loan to value, but that allows me to put a little less into it up front.

I also have a strong monthly income and that factored into it.

Yeah, we have the strong monthly income and high credit rating going for us. I'm trying to scrape together all my old stale retirement accounts into one place, i think that will count as 3 months reserve, and I could technically borrow against whole life policy, that's another 2 months reserve...

here more than 7 acres is considered 'investment land' and the downpayment & interest are more.

__________________
R. F. in Western Mtns. of Maine
Wish I didn't know now what I didn't know then !