Financing Question - Acquiring Land for Tiny Homes

[Kevin Rufty]

Hi all,

Long time BP fan and lurker here. We currently operate 2 STRs and are pursuing acreage where we'd like to build a few tiny homes/cabins. We're running into some financial questions/challenges that we're hoping you can help with. 

First - what type of loan(s) are we looking for? We've talked to a few lenders/local credit unions and are struggling to find someone to lend on raw/unimproved land. Then, which loan types cover the construction/purchase of these tiny homes/cabins?

Second - would an SBA loan be a better option to acquire the land, and subsequently build the structures on the land? Is it a construction-to-perm loan we're looking for? 

We're working with various professionals who are advising us on infrastructure requirements, site planning, zoning, permitting, etc. And I'm sure we'll need quotes for estimates for the business plan if we are trying to obtain an SBA loan - but I don't want to get too far into this without knowing exactly how we'll fund the land acquisition and construction.

Thank you for any advice you can offer!