Our client was under contract to purchase a gorgeous ranch-style house sitting on 29.22 acres in Central Florida.
The loan file had two main challenges.
First, buying large-acreage properties like rural homes, farms or former farms, and land is a lot different from buying a house in the suburbs. Here, due to the large acreage and unique nature of the property, the appraiser had a tough time finding recent comparable sales. The lender also reviewed the appraisal report with extra scrutiny and challenged the comparable sales. Fortunately, we were able to work with a local realtor to provide sufficient comps to support the appraised value.
Second, the borrower’s income profile was a bit challenging due to his self-employment status as a solo practitioner attorney. We found the solution for him. Instead of tax returns, we showed his income through his business bank statements and a profit-and-loss statement.
Our client is now the proud owner of a private ranch where he and his family can enjoy unique features, including a small windmill, small barn/workshop, flowing creek with walking bridge, greenhouse, gazebo, fire pit, and large private pond.
Looking to purchase or refinance a large acreage property? We can help.
Contact us today to get started.
