4 Best Land and Lot Loans in New York


Land loans offer borrowers a way to secure raw land for a future home build.

Key Terms

  • Land loans can make more expensive areas, including areas around NYC, more accessible.
  • Until you build on a lot, you will not need to pay insurance, reducing your monthly payments.
  • In some cases, the purchased land can be used to take out a construction loan when you’re ready to build your dream home.

Whether you like the big city or a rural way of life, New York State has something for you. Famous for being home to maybe the most well-known city in the world, New York is also home to a snowy north, quaint villages, rural areas and lovely suburbs. According to the U.S. Census Bureau, New York has 47,124 square miles of land, offering plenty of acreage for those who want to find a home in the Empire State.  

With prices rising, some New Yorkers may find that starting with a plot of land and building over time is an easier way into New York housing. With a land loan, you can purchase a lot in your favorite part of the state and then build a home when you’re ready. They’re also a great option for those looking to build a vacation home in New York.  With the value per acre of land in New York at $41,314.09, per the New Estimates of Value of Land of the United States, which is much less than the price per acre in neighboring states, New Yorkers may well find this approach an affordable option. 

Plus, as you build equity on your land, its value may help you qualify for a New York construction loan, so that you can start building your dream New York home. 

Show Me Lenders

How land loans work in New York

Saving for a down payment is typically one of the most difficult aspects of buying a home these days. You begin saving, but as you get closer to your goal, prices fluctuate, and you must save more more. Sometimes it feels like you’ll never save enough money to buy your first house – or even a vacation property!

A land loan changes the game slightly because the down payments are generally minimal, and, of course, unoccupied property is less expensive. So you can buy the lot you want in the region you want today without worrying that it will be out of your price range soon.

Obtaining a land loan and purchasing unoccupied property in New York also means you’ll never have to settle for a home you don’t adore. When you’re ready to start building, you may customize your new home to your exact requirements, so it’ll be just what you’ve always desired.

Get Quotes for Your Land Loan

4 Best New York land loan lenders

If you’re ready to learn more about the best land loan lenders in New York, here are the top options we’ve found through our research.

1. Bank of Holland

Founded in 1893, the Bank of Holland is a local bank that has been providing products and services to Aurora and East Aurora for land purchases. They offer construction loans that can be used for almost any type of construction, including modular homes and vacant land loans.

We reached out to Bank of Holland to discuss land loan terms, which you can read about below:

  • Vacant land loans available
  • Flexible terms and interest rates depending on credit score
  • Local decision-making to help you through 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.

2. Walden Savings Bank

Walden Savings Bank has been around for 150 years, serving the area of Walden, New York, with a number of banking and financing products to help customers achieve goals. They offer a variety of loan options, including refinance loans and land loans for those looking to invest in and build a home.

We asked Walden Savings Bank for more details on their vacant land loan process and here is what they said:

  • Land loan amounts up to $250,000
  • Land loans are available to purchase land if you are not planning to build right away
  • Up to 65% financing of the value of the land
  • Loan payments can be amortized over 15, 20 or 25 years
  • The loan has a balloon payment after 5 years.
  • Online banking

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. Pathfinder Bank

Pathfinder Bank is a financial institution that has served the Central New York Community since 1859, opening as Oswego City Savings Bank. A full-service bank, they offer lines of credit, small business loans, home equity loans and land loans for New York property development, including in Oswego, Onondaga, Oneida, Madison, Jefferson, and Cayuga counties.

We reached out to Pathfinder Bank to discuss land loan details, which you can read about below:

  • Flexible repayment terms
  • Local decision-making and processing in Central New York
  • Property must be located in one of the following counties: Oswego, Onondaga, Oneida, Madison, Jefferson or Cayuga.

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. TD Bank

TD Bank is a full service lender that offers all types of financial products, including investments, mortgage loans, wealth planning, and private banking services. TD Bank does have a large lending ability in which loans can be obtained for property and land purchases and the purchase and renovation of a home.

We reached out to TD Bank to discuss land loan details, which you can read about below:

  • Can finance land purchases as part of construction project
  • Construction loans are interest-only during the construction phase

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 New York home land loan right for you?

If you need to buy a house quickly or fund an investment property, a land loan is generally not the way to go. When you go with a lot loan, you will be constructing a home from the ground up, which might take months, if not a year or more. If you need to get situated quickly or need a short-term loan, this is probably not the best choice.

However, if you want the freedom to pick the precise home you want and are prepared to put in the time and energy to get the job done, you may obtain whatever you want while saving money.

When it comes to purchasing property, land and lot loans aren’t the first item that comes to mind. However, they are an excellent out-of-the-box solution. Given the current state of the real estate market, buying land is also becoming an increasingly appealing choice for many New Yorkers.

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.

Save more money than your friends

One email each week covers personal finance, financial independence, investing and other stuff for lawyers that makes you better.