can i build using usda on land i own?

The issue you will have with an RD loan where you're going to build is the appraisal report. The lender is going to want to see that there are comps within a certain proximity with similar specs (# of rooms, bathrooms, living space, etc.)...and what are the values of those comps. If you contact a local lender/mortgage broker, they may be able to reach out to a local appraiser that they know to help find out what home values are that are similar to what you want to build within the area you want to build it. Doing this upfront work is necessary for this sort of situation. As long as you can get a true valuation on an appraisal report on the newly constructed property once it is finished, then yes you can build using the RD home loan program. Any lender will want to make sure that before they lend money on a to-be-built property it will be able to have an accurate valuation done on it to ensure that their investment on it is worthwhile. Best of luck!!

Yes.. but No.. Although USDA allows for construction loans, you will have a hard time finding a lender willing to do one.. but in reality, if your lot is paid for, then why not just apply for a traditional construction loan. More than likely, your lot will be 20% or more of the improved value of the property once completed, so you would meet most lenders down payment requirements.. Rather than trying to figure this out on your own, Just take 10 minutes, call a local mortgage professional and let him look at your complete loan scenario.. once they see the complete picture, they can advise you properly.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com