5 Best Land and Lot Loans in Montana


Montana land loans give borrowers a way to purchase land and build a home on your own plot of land.

Key Terms

  • Land loans allow you to buy real estate in areas where you might not be able to afford a new home.
  • Land loans, or “lot” loans, have no restrictions on when you build a home.
  • These loans don’t require monthly insurance payments like traditional home loans.

The Western life doesn’t get much better than the one you find in Montana. Even if you’re not an outdoors person, there’s something compelling about the natural beauty of this state. When you factor in great schools and low crime rates, it’s no wonder that many want to live in or build a vacation home in Montana’s 145,550 square miles of land (according to the United States Census Bureau.) 

One easy way to have a home or vacation home in Montana is to buy land and launch your own construction project when you’re ready to. This is a great choice for those who can’t necessarily afford a built home or those who are building vacation homes in places like Missoula and can take their time with the mortgage loan process.  With the value per acre in Montana at around $2,282.66 per the New Estimates of Value of Land of the United States, citizens of Montana may find that even several acres of land are pretty affordable. 

In contrast to construction loans in Montana, which are for immediate construction projects or renovations, with a lot loan you can take time to plan and build when you’re ready, even if that’s years down the road. 

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How land loans work in Montana

A land loan can help you get the money you need to buy a piece of property in Montana. Because many lenders have no restrictions on how many acres you can get with their land loans, you can finance very large acreages. These loans are not the same as farm loans, home equity lines of credit or construction loans; a farm loan requires the property to be used for farming, whereas a construction loan requires that construction begin immediately.

You can leave the property in its current condition for as long as you want by taking out a land loan. If you want to build a house on your land, you can use it as collateral for a construction loan.

Land loans pose a higher risk to lenders. As a result, these loans may sometimes necessitate a large down payment and have higher interest rates and monthly payments. Given their flexibility and the ability to build your dream home on your own terms, their advantages may outweigh their disadvantages.

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5 Best Montana land loan lenders

If you’re in the market to purchase land in Montana, consider these land loan lenders that are available for projects in the state.

1. Bank of Bozeman

The Bank of Bozeman serves the Gallatin Valley area of Montana by working with the community and local businesses. They offer a number of different loan products pertaining to land purchases, including personal land loans as well as business land loans.

We contacted Bank of Bozeman to discuss land loan details, which you can read about below:

  • Available for construction projects
  • Recreational land loans OK
  • Farmers/Ranchers can finance raw or undeveloped land.

When you’re ready to connect with a loan officer, use our form to quickly match with land and lot loan programs based on your specific circumstances.

2. Whitefish Credit Union

Whitefish Credit Union was first chartered in 1934 and is the largest credit union in the state of Montana, with over $2 billion in assets under active management. Among the financing options offered are construction and land loans with fixed rates and flexible construction timelines to meet most needs.

We reached out to Whitefish Credit Union to discuss land loan details, which you can read about below:

  • Land loans are provided as part of construction process
  • Available in Northwest Montana only
  • Land loans and construction loans feature fixed rates

When you’re ready to connect with a loan officer, use our form to quickly match with land and lot loan programs based on your specific circumstances.

3. Intrepid Credit Union

Founded in 1936 in Helena, Intrepid Credit Union has changed its name over time, allowing it to include more members, including those who live within the serviced counties. It offers land loans throughout Montana to qualified members. The organization is hands-on in supporting the local community through giving back measures.

We contacted Intrepid Credit Union to learn more about their land loan program, and here are some of the details we were able to get:

  • Bank has local agents who know the area
  • Offers custom-built land loans depending on project parameters
  • Lends across the state of Montana

When you’re ready to connect with a loan officer, use our form to quickly match with land and lot loan programs based on your specific circumstances.

4. Sky Federal Credit Union

Founded in 1935, Sky Federal Credit Union has been meeting the banking needs of the people of Montana, Idaho, and Wyoming since. Sky Federal Credit Union offers a number of personal loan products for their customer’s financing needs, including vacant land loans with flexible terms and competitive rates.

We reached out to Sky Federal Credit Union to discuss land loan details, which you can read about below:

  • Vacant land loans available
  • Flexible loan terms
  • Fixed and variable loan options available
  • Local underwriting and servicing
  • Available for improved land or raw land

When you’re ready to connect with a loan officer, use our form to quickly match with land and lot loan programs based on your specific circumstances

5. Mountain America Credit Union

Opening in the 1930s, Mountain America Credit Union started serving the people of Utah by providing a number of banking services to help meet their customers’’ needs. Mountain America Credit Union offers a number of products to help customers meet their goals, including lot loans and land loans.

We reached out to Mountain America Credit Union to discuss land loan details, which you can read about below:

  • Loan amount available for land purchases whether you plan to immediately build or want to build at a later date
  • Construction loans available
  • Up to 85% financing on approved credit
  • Fully amortizing fixed-rate and balloon options
  • Easy online application process

When you’re ready to connect with a loan officer, use our form to quickly match with land and lot loan programs based on your specific circumstances.

Is a land loan in Montana right for me?

Are Montana land loans an option for you? It is determined by your long-term goals or your current circumstances.  If you need a place to live or start a business immediately, a land loan may not be the best option. However, if you want to secure a lot in your preferred area and can take your time creating and building your home or business, one of these financial solutions may be ideal for you.

You should also think about the type of land you want. There are numerous types of land loans available depending on the condition in which a piece of property is. Raw or undeveloped land necessitates a different type of lot loan and will necessitate more work on your part to construct a home. Fortunately, there are many improved lots ready to go in Montana, providing accessibility to some wealthy neighborhoods and an easier way to build.

If you’re looking to explore land and lot loans in other states, check out our national overview of land loans as a starting point in your search.

Find a Land Loan Specialist

Joshua Holt

Joshua Holt is a licensed mortgage loan originator (NMLS #2306824) and founder of Biglaw Investor. His mortgage expertise lies in the areas of professional mortgage loans, particularly for lawyers, doctors and other high-income professionals. Prior to Biglaw Investor, Josh practiced private equity mergers & acquisition law for one of the largest law firms in the country.

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