Using Land as collateral?

[Logan Marienau]

Hi Everyone,

I just recently purchase 5 acres of land for $65k. The land is intended for my wife and I to build a home in 5-7 years. With that being said I was curious how I could utilize this land to purchase rental property. I will be discussing this with my banker this week. 

Main question is would I be able to use that land as down payment for a rental. If the bank is needing 30% then could I potential buy a property worth $216,000? Please let me know if I am way on this or if there was a better way to go about this.

Thanks!

Logan

[Ellis San Jose]

Land typically is viewed by lenders with no higher than 50% LTV so maybe you could get $30k approx.