Rebuild Loans on family owned land...My options??

[Jay Dewberry]

I have a family member that owns a small, dilapidated home on three acres of land. She wants to tear down the home to build a new one to serve as a rental property.  I wanted to know if there were lending programs that will allow her to build/rebuild a new home for the purpose of renting, even if she has to reside in it for a year(as some loans do)? She is a veteran and the property is in a rural part of Georgia. Thanks in advance for any direction you can point me to.

[Kevin Romines]

You will need to go with a fix n flip or construction loan based on the condition of the home. You wont be able to do traditional financing due to the condition? As far as equity, determine what the estimate land value is versus what is owed against it? The difference is the equity you have?