Why land loans need bigger deposits
Land is harder to sell than a home and produces no income on its own, so lenders usually lend a smaller share of its value. Land with planning permission is generally easier to borrow against.
Worked example
A £150,000 plot at a 60% limit could support a loan of about £90,000, leaving a £60,000 deposit.
Before you buy
Check access, utilities and planning before committing.
This is an estimate. Lenders make their own decision based on your full circumstances and credit history.
Inputs for the land loan eligibility calculator
Land value
The price or value of the land.
Existing borrowing secured on it
Any loans already secured on it.
Maximum loan-to-value
The lender's maximum for land, usually lower than for homes.
CALCULATOR QUESTIONS
Land loan eligibility calculator questions
How much can I borrow to buy land?
Usually a smaller share of the value than for a home. Enter the lender's limit above.
Does planning permission help?
Yes. It usually makes land easier to finance.
What if I want to build on it?
Look at self-build mortgages, which release money in stages.
Is this a guarantee?
No. The lender decides.