I own a piece of undeveloped land outright and I’m considering a land equity line of credit to cover expenses while I’m in law school next fall. Is this feasible? What would the process look like?
Getting loans on raw land is challenging. Banks are reluctant to lend against undeveloped land because they don’t want to deal with foreclosures on that type of asset. You may need to explore other financing options or consider selling the land.
I understand the land has been in the family for generations, so selling it is not ideal. Perhaps there are alternative financing options that could work.
Consider the bank’s perspective: if you’re borrowing money for expenses while in school, they may question how you’ll repay the loan. This could complicate your ability to secure financing.