4 Best Land and Lot Loans in Ohio


Land loans are a type of loan that gives homebuyers a way to secure property and build their dream home on their own timeline.

Key Terms

  • Land loans are financing options that can make more expensive areas more accessible.
  • Until you build on a lot, you will not need any insurance or PMI like with a traditional mortgage loan.
  • In some cases, the purchased land can be used to take out a construction loan when you’re ready to build.

Whether you want a cosmopolitan lifestyle, a rural way of life, or something in between, Ohio can deliver.  According to the U.S. Census Bureau, Ohio has 40,859  square miles of land, offering a wide selection of terrains and properties. For some looking to live in Ohio, the best option might actually be purchasing land itself. 

Land loans give the people of Ohio a new and unique way to approach getting a home. With a land loan, you can purchase a piece of land in your favorite area and then build a home when you’re ready.. With the value per acre of land in Ohio at $32,076.56, per the New Estimates of Value of Land of the United States, Ohioans may well be able to purchase several acres for far less than the average home.

Unlike an Ohio construction loan, which is exclusively for a build project, a land loan (or lot loan, as they are sometimes called) allows you to lock down your location, then build when your budget and timeline allow it. 

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How land loans work in Ohio

One of the biggest problems with buying property these days is often just saving up the down payment. You start saving, but as you get closer to your original goal, prices, credit scores and interest rates change, and you have to save more. Sometimes, it feels like you’ll never get enough money set aside to qualify for your first home – or a vacation home, for that matter! 

A land loan flips the script a bit because often, the down payments required are low, and of course, vacant raw land is cheaper. So you can buy the lot you want in an area you love now, and you don’t have to worry that it’ll be out of your price range in a year or two. 

Getting a land loan and buying vacant land in Ohio also means you’ll never have to make do or settle for a home you don’t love. When you’re ready to build, you can design the home you create to your exact specifications. So it’ll be precisely what you’ve always wanted. 

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4 Best Ohio land loan lenders

Some lenders only offer land loans for residential projects, while other programs can lend to those that are pursuing recreational or agri-business purchases.

1. Ohio University Credit Union

The Ohio University Credit Union is now known as OUCU Financial and offers a number of products to meet the needs of its customers. They offer a number of different products, including construction and land loans with low down payments to meet customers’ needs when it comes to land ownership.

We reached out to Ohio University Credit Union to discuss land loan options, which you can read about below:

  • Financing available on developed, undeveloped and unimproved property
  • Lower down payment options on property developed with septic, water and electric

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. Vinton County National Bank

Vinton County National Bank serves the Ashville, Bremen, and Canal Winchester communities of Ohio by providing a full service financial institution to meet their needs. The Vinton County National Bank provides a number of loan products for its customers, including home equity lines of credit and land loans and construction loans with only a 10% down payment.

We reached out to Vinton County National Bank to discuss land loan rates, which you can read about below:

  • 10% down payment on the loan amount required for construction projects
  • Must use a construction loan to also purchase land loans
  • One time closing costs
  • Construction period of up to 12 months
  • Interest Only during the construction phase
  • No private mortgage insurance required, reducing monthly payments

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. Woodsfield Savings Bank

Woodsfield Savings Bank is a regional bank in Ohio that focuses on servicing its local community. They offer a wide range of consumer products, such as home equity loans, checking and lending options. As part of their lending services, they offer land and lot loans.

We contacted Woodsfield Savings Bank to get more details about its land loan terms. Here are some highlights:

  • Available for hunting property purchases
  • Available for construction real estate projects
  • Only available in South East Ohio area
  • Land loans can be a maximum of 65% of the appraised value

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. AgAmerica Lending

AgAmerica Lending is a multi-generational family farm lender serving residents in numerous states. The organization specifically focuses on agricultural financing. It is ranked as one of the fastest growing private companies and offers coast to coast USDA services to farmers and ranchers throughout the country.

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

  • Minimum of 25 acres required
  • Minimum loans of $150,000
  • Farm/ranch financing available
  • Recreational land loans available
  • Terms from 18 months to 30 years

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 an Ohio home land loan right for you?

If you want to get into a home quickly, then a land loan probably won’t work for you. When you choose a lot or land purchase, you will be building a new home from scratch, which can take months or even a year or more. So if you’re in a rush to get settled, this is probably not the right option. 

However, if you want the flexibility to choose the exact home you want, and you are willing to put in the time and effort to get the job done, you can get everything you want and probably save some money in the process.

Land and lot loans aren’t the first thing you think of when you think about buying property. But they are a great out-of-the-box option. Given the housing market today, it’s becoming an increasingly attractive option for many Ohioans, too.

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.

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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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