Using Bank Loans to Buy Land in Installments: Reklamyonetim

What are the Conditions for a Land Loan to Buy Land in Installments?

For you to use a bank loan to buy land in installments, banks have certain conditions. While some banks only provide loans for zoned land, some banks also provide loans for unzoned land. Furthermore, if the land to be purchased in installments has a deed with fractional ownership, all of the land's shares must be sold, not just a single share.

We recommend you know the following points when using a land loan.

In cases where the land to be financed has multiple shares, all shares must be purchased.

Additional collateral may be requested by the bank if deemed necessary.

If the land being financed is zoned, a mortgage can be taken as collateral, or if the purchased land is not zoned, a mortgage on another real estate property (zoned land, residence, workplace) is requested as collateral.

The loan amount may be up to 50% of the appraisal value in some banks; in others, it can be up to 60%.

While some banks offer maturities up to 36 months, others can offer maturities up to 120 months.

Detailed research of bank conditions before applying for a loan is important to avoid unexpected situations during the loan process. Being well-informed about the land you will purchase before buying it in installments will make your job easier.

Documents Required for a Land Loan When Buying Land in Installments

The documents required for your loan application to buy land in installments are as follows;

Copy of Identity Card or Driver's License,

Income Statement,

For salaried employees, salary slip or a company letter signed on letterhead.

For self-employed individuals, balance sheet for the last 3 years,

Tax Plate and Trade Registry Gazette.

Copy of the title deed for the property to be mortgaged (with established floor easement / condominium ownership)