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Rural blocks

Discussion in 'Property Finance' started by dabbler, 19th Sep, 2016.

  1. dabbler

    dabbler Well-Known Member

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    Hi All, in regard to finance & for both full doc and lo doc.......

    Will any lenders do 80 or 90 LVR for 12.7 acre RU1 block ? Has large house and is in an area where there are lot of 5-10 acre lots, they would be large lot resi blocks, is same postcode and region of large regional city, is about 7k from CBD
     
  2. Mick Butterfield

    Mick Butterfield Well-Known Member

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    Hi @dabbler you should not have any trouble getting that through as a resi loan from my experience selling farms/livestyle properties.
     
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  3. dabbler

    dabbler Well-Known Member

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    I know 5 is ok, and IIRC 10 should be ok for most.
     
  4. Mick Butterfield

    Mick Butterfield Well-Known Member

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    I have just got 37 acres through last week and have had up to 341 acres in the past with some creative writing and a good broker.
     
  5. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    I think it could be possible as long as not income producing (cattle etc).
     
  6. Lamby

    Lamby Member

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    I'd say so, we have a property over 100 acres with Commonwealth Bank, it's zoned primary production (SA) but we have a sub 4% interest rate. ComBank lend as a home loan up to 50ha.
     
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  7. larrylarry

    larrylarry Well-Known Member

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  8. dabbler

    dabbler Well-Known Member

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    A few places

    if you or anyone interested will send PMs

    One we inspected is 30 mins from a town (in a small town itself) has a house on 5 acres that is rented for a decent amount & would get that for under 200k, could also put another house on the block for own use or rental and use old one for yourself, or vice versa. Current tenant only interested in the house and garage, does not care about the acres, so you could put a shed and use it yourself.

    3 acres on edge of Sydney, large brick and tile house, this one is prob a pretty decent buy for a home, just over 800k
     
  9. Corey Batt

    Corey Batt Finance Strategist Business Plus Member

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    Something that size won't give you too many issues, there's a number of lenders happy to take on smaller rural blocks.

    The main hurdles which can make finance difficult (as a residential loan):

    • LARGE rural - 50+ hectares
    • Ultra regional locations
    • Income producing
    • No approved/available residential property on the security
     
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