One person's dream home doesn't necessarily look like another person's dream home. For this reason, many people choose to buy land and build their own home according to their tastes and standards.
In that case, a loan for the purchase of land and construction is ideal.
In that sense, you can ask for a loan for land if you are also interested in purchasing land to build a structure for commercial purposes, such as a gym, store, restaurant or recreational site. The type of loan will depend on where you want to buy the land and what you want to use it for.
However, construction loans are usually subject to higher interest rates than mortgage loans or longer-term than those used to buy homes.
Money from a construction loan is typically paid out in a series of advances as construction progresses to meet responsibilities such as purchasing materials and paying for labor.
Sometimes, payments on a construction loan begin between 6 and 24 months after the loan is granted, after the house is brand new.
How do you repay a lot purchase and construction loan?
You can pay the entire balance of your loan in a single payment or convert the credit into a conventional mortgage loan, where the house is collateral.
The options really depend on the lender and credit history at the time of the loan application, so it is always useful to compare multiple loans, their terms and their features.
However, at Coopealianza we offer loans with great advantages:
- Competitive interest rates.
- simple requirements.
- Quick procedures.
- Advice on the process of search and purchase of land.
- Accompaniment during the construction of the house.
Finally, if you have not yet found the ideal lot for your home, at Coopealianza we have a section for properties for sale in Costa Rica and with incredible discounts. From farms, lots and homes with various locations.
If you need more information, you can also call us by phone or visit any of our branches throughout the country to request personalized advice on the credits for lot purchase and construction.