A Preferred Home Equity Loan Lender.
For homeowners, home builders & developers.
Land Loans in Ontario, British Columbia & Nova Scotia.
What is a Land Mortgage?
Land Mortgage Lender.
A land mortgage is a loan that is provided by a mortgage lender to a homeowner, custom home builder or real estate developer. The land loan can be used to acquire land, service land, assemble land, refinance or develop real estate. Land financing is a niche product given the additional layers of risk associated with land loans and as such, not all mortgage lenders provide land mortgages. For this and other reasons, it’s important to position your land financing requirements with a land mortgage broker or land mortgage lender. There are numerous purposes for purchasing land, such as building a home, building a farm, land banking or to eventually service and develop residential, commercial or industrial real estate. Land financing is available for land acquisition, land refinancing, land assembly and land servicing. There are many ‘moving parts’ when it comes to land ranging from the source, terms and cost of land mortgage financing, as well also municipal, environmental and legal regulations. Given that land is a riskier asset, compared to income producing real estate, land mortgage lenders typically require a substantial down payment and charge a risk-adjusted interest rate premium.
Applying for a Land Mortgage.
Land Mortgage Lenders in Canada.
Applying for a land mortgage is an entirely different process than it is with applying for a residential or commercial mortgage. For one, land is considered to be difficult to underwrite and is a riskier asset given its relative lack of marketability, which vastly depends on its zoning, size and stage in the entitlement and development process. For these and other reasons, land mortgage lenders are very selective about how and when they approve land loans and will thoroughly scrutinize the asset and the loan sponsors’ experience and net worth. DV Capital facilitates land loan mortgage financing across Ontario, British Columbia and Nova Scotia for homeowners, builders and real estate developers.
Land Acquisition Mortgage Loans.
Land Acquisition Financing in canada.
A critical part of land acquisition, in many cases, revolves around ones ability to secure adequate land acquisition financing that supports a projects vision, timelines and funding requirements. DV Capital Corporation has access to institutional land lenders and private mortgage land lenders to customize land acquisition financing for investors and real estate developers across Ontario, British Columbia and Nova Scotia.
Refinance a Land Mortgage loan.
Land Mortgage Refinancing.
Given the short-term nature of land loans there’s often a need to refinance or replace an existing land mortgage loan. At times, mortgage land lenders will not accommodate a land loan extension or renewal, thus triggering the requirement to refinance an existing land loan. Similarly, an existing land loan lender might be willing to offer a renewal, but might increase the land interest rate above market pricing, require the loan to be paid down at maturity or is unwilling to provide additional capital. Land mortgage loans are usually available in first and second mortgage priority, depending on numerous factors. Contact DV Capital for land refinancing mortgage loan options in Ontario, British Columbia & Nova Scotia.
Land Assembly Loans.
Mortgage Lenders for Land Assembly.
The process of land assembly consists of purchasing multiple parcels of land and combining them into one larger parcel to eventually develop and build higher-density real estate. A land assembly can benefit both sellers of the current neighbouring properties, as well as the party organizing the land assembly. It is possible that the land assembly can result in a higher sale price for each property as opposed to being sold on a standalone basis. Similarly, even if the party orchestrating the land assembly acquisition is paying a premium, they stand to assume a healthy upside from either selling the land assembly to a developer or taking the land assembly through the development process. DV Capital facilitates land assembly loans in Ontario, British Columbia & Nova Scotia.
Land Servicing Mortgage Loans.
Mortgage Lenders for Land Servicing Loans.
DV Capital assists builders and real estate developers in securing land servicing loans for lots that will eventually be developed with freehold, townhouses, low-rise and high-rise rental apartments and condominiums, office, commercial, industrial real estate and master-planned communities. Contact us to discuss your land servicing requirements in Ontario, British Columbia & Nova Scotia.
Rural Land Mortgages loans.
Mortgage Lender for Rural Land.
At DV Capital, we maintain relationships with a vast quantity of rural land lenders including private mortgage lenders that finance land in rural locations with different zoning, acreage, services and marketability. It is our mission to source fast and flexible land mortgage financing for rural land acquisition, refinancing and for construction of custom homes and subdivisions for home owners, builders and real estate developers in Ontario, British Columbia and Nova Scotia.
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