Build & renovate
Land & Lot Loans
Land financing depends heavily on what can be built, how soon it can be built and how the lender will be repaid. A finished residential lot and an unentitled tract should be evaluated as separate lending scenarios.
Who it fits
Investors and developers acquiring or refinancing land for a documented business-purpose project.
Work through the numbers
A practical example
Illustration: two sites have the same asking price, but only one has utilities and permits ready. The unentitled site can require more equity, a longer carry period and a different lender. Compare total capital through the start of construction.
What to have ready
- Survey, parcel details, access and utility information
- Zoning, entitlements and approval timeline
- Purchase basis, development budget and exit plan
Questions, answered.
Start with the financing mechanics, then look at the details that can change your actual terms.
Can I finance raw land?
Potentially, through lenders that accept that collateral and development risk. The proposed use, current zoning, physical access, utilities and repayment plan matter. A plan to obtain approvals later is not equivalent to a shovel-ready site.
Do entitlements improve financing options?
They can reduce uncertainty about permitted development, but their value depends on completeness, remaining conditions, expiration dates and cost to execute. Supply the actual approval documents and remaining work rather than describing the site simply as approved.
Will a construction loan pay off the land loan?
It may, if the construction lender accepts the site, valuation, existing payoff and equity structure. That takeout should be evaluated before the land loan matures. A future construction application is not a guaranteed repayment source.
Can seller financing work alongside a lender?
Possibly, subject to the senior lender’s approval of lien position, repayment terms and combined leverage. Disclose the seller note early. Unapproved subordinate debt can prevent a closing even when the seller and buyer agree.
What should I budget besides the purchase?
Include due diligence, taxes, interest carry, engineering, entitlement work, utility connections and any required site improvements. The gap between owning land and having a buildable project can be a major capital requirement.
What should I send CommFi to evaluate my scenario?
Start with the property or equipment details, transaction amount, intended use and timing. Include the documents listed above when available. CommFi can then assess the financing route and request scenario-specific terms. A pre-qualification is preliminary; appraisal, documentation and final lender approval can change the result.
Go a little deeper
Program references
Published references checked September 26, 2026. Third-party examples describe market programs and do not establish a CommFi lending relationship or guarantee availability.
Headline terms are illustrative best-case program features for qualified scenarios, not a loan offer or a confirmed CommFi lender commitment. Availability, proceeds and pricing depend on the lender, borrower, collateral and final underwriting. Maximum leverage, lowest pricing and fastest closing may not be available together.